Qinetiq Group plc hopes to raise gross proceeds of about 582 million British pounds ($1 billion) through its initial public offering, the company announced Jan. 25.

Qinetiq set a price range of 1.65 pounds ($2.95) to 2.05 pounds ($3.66) for the offering. Qinetiq is majority-owned by the U.K. Ministry of Defense and the Carlyle Group, each of which intend to sell part of their holdings.

Qinetiq expects to realize gross primary proceeds of about 150 million pounds ($267.9 million), which the company intends to use for organic business growth and acquisitions, as well as pay off about 45 million pounds ($80.4 million) of debt.

The final price will be set on or about Feb. 10, with full trading on the London Stock Exchange expected to be begin on or around Feb. 15.