Bodycote suspends GBP80 million buyback after accepting Veritas offer
(Alliance News) - Bodycote PLC on Wednesday afternoon announced the suspension of its share buyback programme, in light of its agreeing to a takeover offer from Veritas Capital Fund Management LLC.
The Macclesfield, England-based thermal processing company launched the GBP80 million buyback programme in March, alongside announcing its 2025 results. It expected to complete this by the end of 2026, through two equal tranches.
As of Wednesday, however, the programme is suspended. Bodycote said Barclays Bank PLC has repurchased 2.6 million shares on its behalf for GBP17.5 million.
The suspension is in light of Bodycote on Tuesday accepting a proposal from New York-based private equity firm Veritas, which values each share at 940 pence. This includes 932.8p in cash and the already declared interim dividend of 7.2p per share.
Bodycote shares closed 0.2% lower at 953.50 pence on Wednesday in London.
The approach values Bodycote at GBP1.65 billion on a fully diluted basis, and an enterprise value of GBP1.85 billion.
Bodycote said it believed the Veritas offer represented an "attractive opportunity" for shareholders to realise an "immediate and certain cash value" for their investment, relative to the macroeconomic and end-market risks inherent in executing its strategy over the medium- to long-term.
By Emma Curzon, Alliance News reporter
Comments and questions to newsroom@alliancenews.com
Copyright 2026 Alliance News Ltd. All Rights Reserved.
The articles, information, and content displayed on this webpage may include materials prepared and provided by third parties. Such third-party content is offered for informational purposes only and is not endorsed, reviewed, or verified by Morningstar.
Morningstar makes no representations or warranties regarding the accuracy, completeness, timeliness, or reliability of any third-party content displayed on this site. The views and opinions expressed in third-party content are those of the respective authors and do not necessarily reflect the views of Morningstar, its affiliates, or employees.
Morningstar is not responsible for any errors, omissions, or delays in this content, nor for any actions taken in reliance thereon. Users are advised to exercise their own judgment and seek independent financial advice before making any decisions based on such content. The third-party providers of this content are not affiliated with Morningstar, and their inclusion on this site does not imply any form of partnership, agency, or endorsement.
Popular
5 Stocks to Sell for Tax-Loss Harvesting
33 Undervalued Stocks to Buy Before the Market Shifts Again
What’s Ahead for Stocks This Quarter—and Where to Invest
Ask the Analyst: What Is the Best Source for Low-Risk Tax-Free Income?
United States