Spectris pulls £1.7bn bid for Oxford Instruments, citing Ukraine war

Spectris has pulled its £1.7bn bid for Oxford Instruments, citing global market uncertainties caused by the “deplorable” events in Ukraine after the Russian invasion.

“Since there is no certainty as to when the situation will be resolved, and market conditions will improve, the board has concluded that the proposed combination is no longer in shareholders' best interests at the current time,” the company said on Monday.

Oxford Instruments last week said it had received a non-binding, indicative offer that included £19.50 a share in cash, plus new shares in Spectris worth £11.50 each.

"Oxford Instruments is a quality company and the strategic and financial rationale for a combination of our businesses is highly compelling. However, with the invasion of Ukraine, the world has changed since our proposed offer was made regarding a combination of our businesses, bringing a high degree of uncertainty to the economic outlook around the world," said Spectris chief executive Andrew Heath.

"The appalling events in Ukraine are extremely distressing. Though we have no businesses in Ukraine, we are doing everything we can to help colleagues whose families are impacted and support the relief effort for the people of Ukraine."

In response, Oxford Instruments said the offer was "unsolicited and the board continues to believe that Oxford has a clear and compelling strategy to achieve growth and create value for shareholders over the medium-term".