Oxford Instruments has announced that it has agreed to sell its Industrial Analysis business to Hitachi High-Technologies Corporation for a consideration of £80 million on a cash and debt free basis. HHT will acquire the companies, assets and liabilities that make up the Industrial Analysis business.
The Industrial Analysis business is a leading global provider of handheld and bench-top instruments using X-ray Fluorescence (XRF), Laser Induced Breakdown Spectroscopy (LIBS) and Optical Emission Spectroscopy (OES) technologies for analysing materials in a broad range of industrial applications.
The transaction is subject to regulatory approval in Austria, confirmation of receipt by the relevant regulator of the share transfer filing in China, and completion of pre-sale reorganisation to carve out the relevant businesses. Assuming these conditions are satisfied, the transaction is expected to close in 2Q17. Proceeds will be used to reduce existing borrowings and the current management team will transfer with the business.
Ian Barkshire, Chief Executive of Oxford Instruments, said: “The sale of the Industrial Analysis business follows the continued strategic review of our portfolio and is a key element in the ongoing transformation of Oxford Instruments. I am confident that our Industrial Analysis business can look forward to a bright future as part of Hitachi High-Technologies. We look forward to working with HHT’s management team to deliver a smooth transition of ownership.
“This transaction creates a more focused NanoTechnology Tools and Service business with some improvement to operating margin and will bring net debt to EBITDA leverage after completion to below one times on a pro-forma basis for the year ended 31 March 2017”.
Toshiyuki Ikeda, Senior Vice President of Hitachi High-Technologies Corporation, said: “We intend to contribute to society by strengthening the product range, providing safe and secure solutions for the environmental, food safety and security sectors. We look forward to a smooth integration of the business and welcome the employees of Industrial Analysis to HHT”.
Read the article online at: https://www.worldcement.com/europe-cis/26042017/oxford-instruments-to-sell-its-industrial-analysis-business/