A SENIOR executive from a leading research group has been appointed to lead QinetiQ's latest enterprise.

Hal Kruth, former vice-president with California-based SRI International, has been chosen as chief executive officer for QinetiQ Ventures Ltd.

A newly-formed subsidiary, QinetiQ Ventures will manage the £25 million fund which will invest in new businesses created to exploit QinetiQ's technology.

"As head of the fund, my role will be to identify and invest in key technology opportunities that have the potential to become high-value companies in growing commercial markets," said Mr Kruth.

QinetiQ Ventures will seek to fully invest the fund in about ten new start-up companies over the next three years.

"By building strong companies at the earliest stage we hope to create attractive, high-potential opportunities for subsequent investment by the larger established venture capital firms," he said.

Mr Kruth also becomes an executive director of QinetiQ Group plc and president of QinetiQ Inc, a subsidiary company recently formed in the USA to build up QinetiQ's business there.

SRI International, formerly Stanford Research Institute, is one of the world's leading independent research organisations.

Mr Kruth's role there was to manage major transactions involving start-up companies, licensing, sponsored research, joint ventures and technology spin-offs.