Spectris sold for $6.5bn

September 2025 | DEALFRONT | PRIVATE EQUITY & VENTURE CAPITAL

Financier Worldwide Magazine

September 2025 Issue

Spectris PLC has agreed to be acquired by private equity firm Kohlberg Kravis Roberts & Co (KKR) for $5.2bn, following a successful bid that surpassed a rival offer from US-based Advent International LP.

KKR will pay £40 in cash per share for the London-based provider of high-tech instruments, test equipment and software. This includes a 28 pence interim dividend. The bid values Spectris’s equity at £4.1bn and implies an enterprise value of approximately £4.7bn.

KKR’s offer represents a 6.3 percent premium over Advent’s June proposal of £37.63 per share, and a 96 percent premium to the Spectris share price on 6 June, the day before Advent’s approach was disclosed. The Spectris board has unanimously withdrawn its recommendation of the Advent offer. The acquisition is expected to complete by the first quarter of 2026.

The transaction will proceed via a court-sanctioned scheme of arrangement and is subject to shareholder and regulatory approvals in the UK, EU, US and China.

KKR has stated that it views Spectris as a long-term strategic investment, with plans to expand its global footprint and accelerate innovation across its core markets. The firm also intends to support Spectris in pursuing bolt-on acquisitions to strengthen its competitive position and enhance its product portfolio.

“The Board of Spectris is pleased to recommend KKR’s cash offer for Spectris which is a 6.3 percent increase to the Advent proposal and represents a premium of 96.3 percent to the undisturbed share price,” said Mark Williamson, chairman of Spectris. “This offer reflects the excellent work of the Spectris management team in recent years to transform Spectris into a focused, high quality, premium precision measurement business that is well positioned for the future.”

“This attractive offer from KKR recognises the quality of Spectris, our people, and our strong growth prospects,” said Andrew Heath, chief executive of Spectris. “We have been impressed by KKR’s intentions for our business, and the commitments to invest in our people and our future growth.”

“Spectris is an impressive industrial technology business serving attractive end markets such as life sciences, industrial automation, aerospace and defence, academia and more,” said Joshua Weisenbeck, a partner at KKR. “We believe there is an excellent fit in terms of our respective values, with a strong focus on its talented employees and supporting communities in which it operates.”

KKR will carry out the acquisition through Project Aurora Bidco Limited and has pledged to maintain Spectris’s operations while exploring employee ownership programmes.

“Over our nearly five-decade history, we have invested in close to 70 industrial businesses globally and seen the impact of a focused operational approach,” said Christopher Drewsen, a director at KKR. “KKR will bring the full resources of our firm to help Spectris go further, move faster and deliver innovative products to customers worldwide.”

KKR has also committed to a minimum £1m annual contribution to the Spectris Foundation, reinforcing its support for corporate social responsibility initiatives.

The deal is the latest in a wave of PE acquisitions targeting UK-listed companies, driven by low valuations. According to AJ Bell, nearly 50 UK-listed companies were subject to bid interest in the first half of the year. Of these, 21 received bids from trade buyers. Notable targets included Deliveroo, which received a £2.7bn bid from DoorDash, and Adriatic Metals, which received a £927m bid from Dundee Precious Metals. The combination of significant dry powder in the PE sector and attractive valuations has made the UK an appealing market for firms seeking value.

Richard Summerfield