Engineering company Renishaw, headquartered in Wotton-Under-Edge, Gloucestershire, UK, has announced the commencement of a formal sale process. The company states that its founders, Sir David McMurtry, Executive Chairman, and John Deer, Non-Executive Deputy Chairman, have indicated their intentions to sell their entire combined shareholdings, totalling some 53% of the issued share capital.
In considering its options, the board is reported to have concluded unanimously that it would be appropriate to investigate the sale of the company. The board is seeking a buyer which will respect the unique heritage and culture of Renishaw, its commitment to the local communities in which its operations are based, and which will enable the company to continue to prosper in the long-term.
Since its beginnings in 1973, Renishaw has become one of the world’s leading engineering and scientific technology companies, with specialist knowledge in precision measurement and healthcare. The company believes that, at the heart of its activities, rests a culture of innovation and a fundamental belief that success comes from patented and innovative products and processes, high-quality manufacturing and the ability to provide localised customer support throughout global markets.
Sir David McMurtry and John Deer stated, “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 eighties, our thoughts have increasingly turned to considering the future of our 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 fifty 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.”
The Takeover Panel has agreed that any discussions with a third party will take place within the context of a ‘formal sale process’ as defined in The Takeover Code, enabling conversations with interested parties to take place on a confidential basis.
Neither Renishaw nor McMurtry and Deer are said to be currently in discussions with any potential offeror, or in receipt of a possible offer for the company or for the shareholdings at the date of the announcement.