Renishaw withdraws from sale

Renishaw withdraws from sale

Business news |
By Nick Flaherty

UK 3D printing and metrology specialist Renishaw has cancelled its sale after rejecting all offers.

The company put itself up for sale in March with a price tag of £5bn (€5.8bn) as the founders and majority shareholders are now over 80 years old. The board of directors at Renishaw said yesterday they unanimously decided to conclude the sale process having reviewed a number of proposals.

Founders Sir David McMurtry and John Deer have indicated they remain committed to Renishaw and have no intention of selling their shares on the market for the foreseeable future. This is likely to stop any subsequent hostole takeover bid.

“At the start of this process we made it very clear that, with the Board, we were focused on ensuring that we find the right new owner for our business. Whilst the formal sale process did not result in a new owner for Renishaw, we are satisfied that it ensured a thorough and rigorous process that enabled us to evaluate a wide range of potential buyers,” said Sir David McMurtry, Executive Chairman of Renishaw, and John Deer, Non-Executive Deputy Chairman.

“We remain fully committed to Renishaw and have indicated to the Board that we have no intention of selling our shares on the market for the foreseeable future. We continue to enjoy good health and as we consider the future of our shareholdings in due course, we intend to follow an orderly process that continues to take into account the interests of all stakeholders,” they said.

The company saw a post-Covid boost with strong trading in the last quarter of its financial year to 30 June 2021, finishing with a record order book. It now expects revenue for the year to be in the range of £562m to £567m and adjusted profit before tax to be in the range of £116m to £121m. The majority of its business is in Asia, and while the metrology business, which supplies the aviation industry, had been hit by the pandemic, the smaller healthcare business saw significant growth. The company also has a growing range of proprietary machine-to-machine radio systems that saw a boost from the increased drive to industrial automation.

The company has set up warehouses in Germany and Ireland to avoid shipment issues following Brexit.

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