Bodycote agrees £1.65B acquisition by Veritas Capital
Bodycote, headquartered in Macclesfield, England, UK, has agreed the terms of a recommended cash acquisition by Vulcan Alpha Bidco Limited, a newly formed company owned by US investment firm Veritas Capital Fund Management. The offer values Bodycote’s issued and to-be-issued share capital at approximately £1.65 billion, with an implied enterprise value of around £1.85 billion.
Bodycote is a global provider of heat treatment and specialist thermal processing services, operating approximately 130 facilities in 22 countries and employing around 4,000 people.
“Bodycote has established itself as a global leader in providing essential technologies for performance metallurgy across a range of mission-critical end markets,” explained James Dimitri, partner & co-head of Flagship Private Equity at Veritas. “We admire what Bodycote and its talented employee base have built, and we look forward to leveraging our deep sector experience and track record of partnering with leading companies in the performance industrial supply chain to support Bodycote’s continued development and unlock a new chapter of growth.”
Under the terms of the acquisition, Bodycote shareholders will receive 932.8 pence in cash per share and will retain the FY26 interim dividend of 7.2 pence per share, giving a total offer value of 940 pence per share. Bodycote’s directors intend unanimously to recommend the transaction to shareholders.
As part of Bodycote’s current growth strategy, the company has been investing in increased HIP capacity for aerospace and defence customers, as well as expanding its Specialist Technologies activities. In 2026, Bodycote also completed its acquisition of Spectrum Thermal Processing, a North American precision heat treatment business focused on the aerospace and defence sectors.
New York-based Veritas had approximately $54 billion in assets under management as of June 30, 2026. The investment firm has cited Bodycote’s technical capabilities and its exposure to aerospace, defence and other engineering markets as factors behind the acquisition.
Completion is currently expected in Q1 2027.
“The Bodycote Board believes that this offer from Veritas reflects the high quality of Bodycote’s business and management, and delivers shareholders excellent value in cash,” stated Daniel Dayan*,* Bodycote Chair. “The Bodycote team has worked extremely hard over many years to build a leading position in our industry, including recent success in delivering on the Optimise, Perform and Grow initiatives; accordingly, the board wishes to express its thanks to management and employees on behalf of shareholders.
“It is gratifying to see Veritas’ strong support in this announcement for Bodycote’s strategy in focusing the group on its most attractive markets for the benefit of all stakeholders. Veritas is an experienced and knowledgeable owner of industrial businesses with the capability to accelerate the delivery of this strategy. The board remains highly confident in Bodycote’s prospects and believes that this offer recognises that value today and is therefore recommending it to shareholders.”
