Oxford Instruments moved ahead as it moved closer to acquiring a rival and outlined plans to restructure its business.
The FTSE 250 company, which makes and sells x-ray cameras, microscopes and magnets to academic researchers and commercial customers, is buying a Zurich-based company for £15m.
FemtoTools designs and manufactures precision nanoindenters that measure the force required to drill a hole in a material.
Richard Tyson, chief executive of Oxford Instruments, said the company will be an “excellent addition” to its portfolio.
The acquisition, which is expected to be completed within a month, comes as Oxford Instruments restructures its business into two new divisions.
Its imaging and analytics division, which will account for 70 per cent of the group’s revenue, will be made up of six businesses, including FemtoTools.
Oxford Instruments, which makes X-ray cameras, microscopes and magnets for academic researchers and commercial customers, is to buy Zurich-based FemtoTools for £15m.
And the other division, advanced technologies, will have two companies.
The updates came alongside Oxford Instruments’ annual results which showed revenue rose 5.8 per cent to £470.4 million in the 12 months to the end of March and profits fell 3 per cent to £470.4 million. 71.3 million pounds.
The shares gained 7.1 per cent, or 175 pence, to 2,635 pence.
The FTSE 100 fell 1 per cent, or 80.67 points, to 8,147.81 and the FTSE 250 lost 0.9 per cent, or 179.19 points, to 20,266.85.
Banking shares came under pressure as political parties contemplated a tax raid on the industry and investors bet that interest rate cuts would finally come sometime after the general election.
Standard Chartered fell 4.3 per cent, or 32 pence, to 721.2 pence, HSBC lost 2.3 per cent, or 16 pence, to 677.6 pence and NatWest fell 2.3 per cent, or 7 pence. .1p, to 303.8p.
Pharmaceutical group Hikma posted profits after investment bank Citi upgraded its stock. The shares rose 2.2 per cent, or 43 pence, to 1,973 pence.
Stock market surveillance – Novacyt
Novacyt shares plunged 19.8 per cent, or 13.8p, to 56p after it agreed to pay £5m to resolve a two-year dispute with the Department of Health and Social Care (DHSC). .
The trial between the molecular diagnostics company and the Government was to begin on Monday, but will no longer continue.
The company and the DHSC have now resolved all claims and counterclaims, with neither party making “any admission, liability or wrongdoing.”
A drop in metals prices weighed on mining stocks, with Glencore falling 2.2 per cent, or 10.25 pence, to 465.55 pence, Rio Tinto losing 2 per cent, or 106 pence, to 5,251 pence and Antofagasta down 4.3 per cent, or 92 pence, to 2,067 pence.
Gold producers also fell into the red: Hochschild Mining fell 2.8 per cent, or 5 pence, to 176.4 pence, Fresnillo fell 1.6 per cent, or 9 pence, to 551 pence and Centamin lost a 1.5 per cent, or 1.7p, to 114.1p.
Recruitment firm Hays traded lower after BNP Paribas Exane downgraded its shares.
The shares fell 2.3 per cent, or 2.4 pence, to 102.3 pence.
Capricorn Energy is on track to receive a bumper payout after reaching a key milestone.
The company sold its stake in the Sangomar oil field off the coast of Senegal to Australian energy company Woodside in December 2020.
As part of the agreement, Capricorn Energy was entitled to a special payment of up to £39 million once production began.
Capricorn shares soared 8.8 per cent, or 15p, to 186.5p, but Woodside lost 1.8 per cent, or 26p, to 1,396p.
Bus and train operator First Group hit speed bumps when it raised the alarm over Labour’s plans to renationalise the railways.
Chief Graham Sutherland described nationalization as “clearly a challenge”. The shares fell 2.8 per cent, or 4.7 pence, to 164.8 pence.
Some links in this article may be affiliate links. If you click on them, we may earn a small commission. That helps us fund This Is Money and keep it free to use. We do not write articles to promote products. We do not allow any commercial relationship to affect our editorial independence.
