Melrose Industries advanced 8.5% to 501.2p on Tuesday after California prosecutors closed a criminal investigation into a chemical incident at its GKN Aerospace plant in Garden Grove without filing charges.
The probe stemmed from a May 2026 incident that prompted the evacuation of more than 50,000 residents near the facility. The Orange County District Attorney’s Office concluded its review without pursuing legal action against the company or its subsidiary.
GKN Aerospace separately announced a $100 million claims program, to be administered by an independent third party, to compensate affected residents and businesses. The program follows the temporary shutdown of the plant, which had disrupted operations and prompted Melrose to pause its £175 million share buyback initiative at its half-year results on July 31.
The company said the District Attorney’s office supported a September 28 target for resuming full manufacturing operations at the Garden Grove facility. Melrose, a FTSE 100 constituent, operates as a pure-play aerospace supplier through its Engines and Structures divisions, serving both civil and defense markets.
U.S. equity benchmarks were modestly higher, while the FTSE 100 held steady in recent sessions. Shares of Melrose remain well below their 52-week high of 682.6p.
