Boeing (BA) is considering a sale of its Insitu unit, which produces small, military-grade long-range surveillance and reconnaissance drones such as the ScanEagle, Bloomberg reported Monday, citing people familiar with the matter.

Insitu, which Boeing acquired in 2008, has drawn interest from private equity firms and other buyers, the report said.

Boeing has already hired an advisor to help it locate a buyer, the report said.

The report cited an expert who valued the company at around $500 million.

Boeing did not immediately reply to MT Newswires' request for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)