Spectris plc (SXS: LSE), a leader in precision measurement, has announced the agreement to acquire Micromeritics Instrument Corporation for an upfront consideration of $630 million (£485 million) with a deferred element up to $53 million (£41 million) based on financial performance metrics in 2024 and 2025. This acquisition aligns with Spectris' Strategy for Sustainable Growth, combining Micromeritics with Malvern Panalytical to create a global leader in particle characterisation for advanced materials analysis.
Micromeritics, headquartered in Norcross, Georgia, with 470 employees, is a high-growth, high-margin business specializing in analytical instrumentation for the physical characterisation of particles, powders, and porous materials. The company serves diverse end markets, including clean-tech and industrial-tech, and has shown a sales CAGR of 17% from 2021-2024. The acquisition will be immediately accretive to Spectris' growth rates and margins, with expected cost synergies of $12 million (£9.2 million) and significant revenue synergy potential.
Andrew Heath, CEO of Spectris, stated, "The acquisition of Micromeritics fits perfectly with our strategy to build world-class businesses compounding growth and generating strong value creation for our customers and shareholders. The combination of Micromeritics with Malvern Panalytical is highly synergistic. It will create the global market leader in particle characterisation for advanced materials analysis with a differentiated offering and strong competitive positioning in end markets benefiting from long-term, secular and sustainability growth trends."
Terry Kelly, President and CEO of Micromeritics, commented, "Our market-leading technologies are used daily in the labs of the world’s most innovative companies and institutions. The combination with Malvern Panalytical is very powerful. I am really looking forward to working together to unlock more answers for customers and provide expert applications and technical support that cannot be matched by any other company or combination of companies. Becoming part of the Spectris Group is a perfect fit for our technologies, our customers, and most importantly our people."
Upon completion of the transaction, Terry Kelly will be appointed President of Malvern Panalytical and will oversee the integration of both Micromeritics and SciAps. The transaction, funded by a combination of existing cash resources and new external debt, is expected to complete in the third quarter of 2024, subject to customary regulatory approvals.
About Spectris plc
Spectris plc is a global leader in precision measurement, providing insight through cutting-edge technologies and solutions. With a focus on innovation and sustainability, Spectris supports a wide range of industries, helping customers enhance productivity and efficiency.
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