Swiss engineering group Sulzer’s bid to buy UK rival Bodycote was beaten off today after the takeover target rubbished a “take it or leave it” £1.1 billion approach.

Sulzer said it will not pursue its attempted takeover, it had until 5pm today to table a firm offer or walk away.

Bodycote earlier today said a final 344.5p per share prosposal revealed this morning still fell “materially short” of the level needed to recommend a deal.

Sulzer had earlier warned its approach was the last it would make for the Macclesfield-based business it has been circling for three months. Its initial approach was thought to have been 305p.

Bodycote had already rejected two approaches from the Swiss group, which is currently mounting a defensive effort of its own to fend off a back-door takeover by Viktor Vekselberg, the Russian tycoon.

In a statement today, the UK group revealed it had told Sulzer on Monday the terms under which it was willing to open the books and discuss a deal.

It claimed Sulzer had responded “without discussion” by tabling a conditional offer of 335.5p on Wednesday night, warning that it was also a ‘final’ approach.

Bodycote said: “The board is surprised that, despite making its position very clear to Sulzer and its advisers, Sulzer has chosen to make two ‘final’ offers, neither of which reaches the levels required by the board for due diligence, let alone a recommendation.”

Bodycote shares were trading at 318.75p after today’s rejection, 3.75p above their closing level last night.

The group is the world’s largest supplier of thermal processing technology which helps make metals used in the manufacture of cars and planes stronger and more durable.

It employs more than 10,000 workers and has an ambitious expansion programme, under which it plans to open plants in China and India.

Sulzer makes surface coatings and develops fuel cells and pumps. It operates in Britain from Farnborough, in Hampshire, and Middlesbrough, on Teesside.

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