The transaction, announced on Monday, will see the UK‑based Smiths Interconnect unit transferred to Molex Electronic, a leading American supplier of electronic components. The £1.3 billion price tag reflects the strategic value of the interconnect portfolio and marks the latest step in Smiths’ restructuring plan.
Smiths Group, one of Britain’s largest industrial manufacturers, supplies parts to sectors ranging from construction and energy to aerospace and life sciences. The company has been trimming its portfolio, having sold non‑core assets last year to sharpen its focus on the John Crane seal business and the Flex‑Tek heating and cooling division.
In parallel with the sale, Smiths announced a share‑award scheme for its workforce. More than 10,000 full‑time and part‑time employees worldwide will receive shares worth up to £400 each, provided they remain with the company until November 2028. The awards will be granted on 30 October, coinciding with the firm’s 175th anniversary.
Chief executive Roland Carter said the share programme is a way of “thanking” staff for their contribution to the company’s long‑standing reputation for engineering excellence. “For 175 years, we have built our reputation on engineering excellence and innovation. But our success has always been driven by our people,” he said.
Founded in 1851 by Samuel Smith as a jewellery and watchmaking shop in London, Smiths Group now reports an adjusted operating profit of £399 million for the year to the end of July, a 2.1 % increase over the previous year. The proceeds from the Molex deal are expected to bolster the company’s balance sheet and fund further investment in its remaining businesses.
The sale is subject to customary regulatory approvals and is expected to close later this year. Analysts view the deal as a decisive step toward simplifying Smiths’ structure and delivering value to shareholders, while the employee share scheme aims to align staff interests with the company’s future performance.