Renishaw recently announced that David McMurtry and John Deer (pictured) — the founders of the company and executive chairman and non-executive deputy chairman respectively — have indicated to the company’s Board their intention to sell their shareholdings in Renishaw.
Sir David and Mr Deer, together with ‘certain persons connected with them’, own about 53% of the issued share capital of the company and have expressed a preference for the disposal of their entire combined shareholding.
The Board has unanimously concluded that it would be appropriate to investigate the sale of the company and is launching a formal sale process, saying that it intends to seek a buyer who will “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.”
Formed in 1973, the company has grown into one of the world’s leading engineering and scientific technology companies, with expertise in precision measurement and healthcare. At the heart of everything the company does “lies 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 local customer support in all its markets around the globe”.
This culture has resulted in a long-term track record of strong operational and financial performance, bringing significant economic and social benefits to its local communities. UBS, a Swiss multinational investment bank and financial services company, is acting as sole financial adviser and corporate broker to the company in relation to the sale process.
Sir David and Mr Deer 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 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 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.”
David Grant, senior independent non-executive director at Renishaw, added: “Sir 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 that they would like to sell their shares, my fellow directors and I have thoroughly considered various alternatives in partnership with our advisers and unanimously concluded that it would be appropriate to investigate the sale of the company, hence the launching of a formal sale process.”