UK chain for Saint-Gobain
By Sandy Guthrie25 July 2011
Saint-Gobain is to buy the UK's Build Center network of builders' merchants from Wolseley, plus its Brossette French plumbing, heating and sanitary products chain.
Build Center claims to be the UK's fourth largest general builders' merchant. It has 148 branches across the UK. With many of these branches in the south east of England, Saint-Gobain said that it would offer a geographical fit with the Jewson network of builders' merchants which it acquired in 2000. Jewson claims the position of leading builders' merchant in the UK.
Build Center reported revenue of € 360 million for the year ended July 31, 2010. The acquisition is valued at € 165 million.
In addition, the € 186 million acquisition of Brossette would provide Saint-Gobain with 361 outlets across France. In the plumbing field, Saint-Gobain already has Dahl in Nordic countries and Graham in the UK.
Pierre-André de Chalendar, chairman and CEO of Saint-Gobain said, "These two acquisitions, which will add more than € 1 billion of sales, are perfectly in line with the strategy of Saint-Gobain.
"They will further develop our building distribution sector and complement the geographical presence in two of the sector's key businesses - general building distribution in the UK, and plumbing, heating and sanitary products in France - while creating significant synergies, particularly in the areas of purchasing and logistics."
The acquisitions are subject the approval of the competition authorities.