Spectris plc (SXS: LSE), the expert in providing insight through precision measurement, today announces that it has signed a purchase agreement to acquire MicroStrain Sensing Systems Business (the "Company" or "MicroStrain) for $37.6 million (£29.4 million).
Based in Vermont, MicroStrain is a leading developer of inertial and wireless sensing systems, serving the industrial and aerospace sensing systems market. The business has seen strong growth driven by increased demand from industrial automation and the development and adoption of new robotics, logistics, unmanned vehicles and mobility applications. MicroStrain has developed a network of blue-chip customers, including internationally regarded robotic and autonomous equipment innovators. The Company's unaudited revenue for the year ended June 2022 was $15.4 million.
MicroStrain will be integrated into Spectris Dynamics, which has a long-established presence in high precision sensing solutions and where it will benefit from leveraging Spectris Dynamics' global sales and service network. The acquisition strengthens our overall sensor offering and helps further penetration into the rapidly growing automation and smart manufacturing markets, while also increasing our North American presence.
The acquisition, which is in line with the Strategy for Sustainable Growth presented at the capital markets day in October 2022, allows both companies to leverage complementary capabilities and provide enhanced customer offerings and solutions accelerating their product development.
The transaction is subject to regulatory approval and is anticipated to close in the third quarter.
Andrew Heath, Chief Executive, said:
"Value enhancing M&A remains an important part of our compounding growth strategy. MicroStrain is an excellent addition to Spectris Dynamics, bringing complementary technology and strengthening our sensor offering, particularly in the fast-growing industrial and robotics markets. The acquisition will strengthen Spectris' position in the US aerospace, space and defence industries, and accelerate MicroStrain's revenue by leveraging Dynamics' global sales channels. We look forward to welcoming the MicroStrain team and providing our customers with a wider portfolio of inertial sensing solutions, helping to enhance their products and development programmes."
We will be hosting an event for investors and analysts at the Spectris Dynamics centre of excellence in Udine, Italy on 21 June 2023. The presentation will be available on the Spectris website at https://www.spectris.com/investors/ with a recording made available after the event.
For and on behalf of Spectris plc.
LEI number: 213800Z4CO2CZO3M3T10
Investor Relations Director
+44 7500 078 880
Martin Robinson/Giles Kernick
+44 20 7353 4200
Spectris combines precision with purpose, delivering progress for a more sustainable world. We provide critical insights to our customers through premium precision measurement solutions combined with technical expertise and deep domain knowledge.
Precision is at the heart of what we do - our leading, high-tech instruments and software equip our customers to solve some of their greatest challenges to make the world cleaner, healthier and more productive.
We are focused on two key divisions - Spectris Scientific and Spectris Dynamics, which are placed in technology-driven end markets, with strong fundamentals and attractive growth trajectories. We have leading market positions in premium segments and employ 7,600 people located in more than 30 countries, all united behind our purpose to deliver value beyond measure for all our stakeholders. For more information, visit www.spectris.com.
Located in Vermont, MicroStrain was established in 1987 to develop and commercialise highly engineered inertial sensing systems and wireless data collection solutions. In parallel, MicroStrain has developed proprietary calibration process and software tools for its customers to optimize performance and minimize the impact of environmental disruptions in critical applications.