FTSE 100 firm acquires four distribution businesses in North America and Europe for £138m.
Builders’ merchant and distributor Wolseley has acquired four distribution businesses in North America and Europe with a combined turnover of £195m.
Brooks Group the leading builders’ merchant chain for wood-based products in Ireland was purchased for £120m. Wolseley also said that freehold and leasehold properties bought as part of the Brooks acquisition will be sold within eight weeks for £36m.
In August, Wolseley subsidiary OAG acquired the steel pipe merchant Klockner Stahl und Metall. Wolseley said that Klockner would be incorporated into Kontinentale, OAG’s pipes, valves and fittings distributor. Klockner had sales of £30m in the year to 31 December 2003.
In North America, Wolseley’s Ferguson fire sprinkler/fabrication business acquired the Clark Group, whose main business is fabrication and distribution of fire protection equipment. It has a turnover of £32m.
Ferguson has also acquired Cline Contract Sales, which is a custom home appliances wholesale distributor. Cline’s turnover is £3.9m
Group chief executive of Wolseley Charlie Banks said: “Our strategy is to grow Wolseley’s business both through organic means and by acquisition. With these deals we are well on the way to achieving our target bolt-on acquisistion spend of £200m on average each year and the businesses acquired will further strengthen our operations in those local markets.”