Renishaw has been put up for sale after founders Sir David McMurtry and John Deer outlined their intentions to sell their shareholdings.
The pair, who founded the company in 1973 and are now in their eighties, own approximately 53% of the issued share capital at Renishaw.
After considering various options with its advisors, the Renishaw Board has agreed to launch a formal sale process for the company as defined in The Takeover Code. It wishes to seek a buyer who will respect the heritage and culture of the company, as well as it commitment to the local communities in which it operates. Over nearly 50 years, the company has built up expertise in precision measurement control, position and motion control, healthcare products and metal 3D printing, serving industrial markets like aerospace, automotive and energy from its locations in Gloucestershire, South Wales and more than 30 international offices.
Through the launch of the formal sale process, the Renishaw Board will converse with interested parties confidentially and hold the right to reject any approach or terminate discussions with any interested party at any time. Currently, neither the company or its founders are in discussions with any potential offeror or in receipt of a possible offer for the company/ the founders’ shareholdings. The Board also reserves the right to alter any aspect of the process, or terminate it, at any time.
Commenting on their decision, Sir McMurtry and Deer, Executive Chairman and Non-Executive Deputy Chairman, respectively, said:
“We are both grateful for our continued good health, however we recognise that neither of us is getting any younger. Now finding ourselves in our 80s, our thoughts have increasingly turned to considering the future shareholdings in the company and how we can actively contribute to securing the future success of the business. With that in mind, we approached the rest of the Board to indicate that we felt the time was now right to discuss the best way to achieve this.
“As the founders of Renishaw, we understand the importance of Renishaw’s culture, our place in the communities in which we operate, our commitment to research and development, and the loyalty of our staff, our suppliers and the customers we serve; these together have been the foundation of our success for almost 50 years. With the Board, we are therefore focused on ensuring that we find the right new owner for our business – one who respects and will continue to nurture these important attributes.”
Sir David Grant, Senior Independent Non-Executive Director at Renishaw added:
“David and John have been exceptional stewards and majority holders of Renishaw as evidenced by the Company’s long-term track record of innovation, success and value creation.
“Following the indication from David and John that they would like to sell their shares, my fellow directors and I have thoroughly considered various alternatives in partnership with our advisers. In considering these options the Board, including David and John, has had regard to the interests of all the company’s stakeholders. The Board has unanimously concluded that it would be appropriate to investigate the sale of the company and is therefore launching a formal sale process.
“The Board intends to seek a buyer who will recognise the value of Renishaw as an innovation-led business and respect the unique heritage and culture of the business, its commitment to the local communities in which its operations are based and who will enable the company to continue to prosper in the long-term.”
UBS has been selected as the sole financial adviser and corporate broker for the sale process.
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