Jewson acquisition of Build Center completed

Following the announcement in July that Jewson had entered into an agreement with Wolseley UK to acquire Build Center, the aquisition has now been completed.

The acquisition has been referred to the UK’s competition authority, the Office of Fair Trading (OFT) for review. Until the OFT has completed its review, the Build Center business will be managed separately from Jewson.

Build Center is the UK’s fourth largest general builders’ merchant, with a turnover of £316 million in 2010. Employing almost 1600 people, it operates through a national network of 148 branches, including specialist timber, glass and ironmongery centres. In particular, the acquisition will enable Jewson to strengthen its position in the UK building distribution sector and enhance its offer for customers. It will also bring with it significant benefits and synergies for SGBD in the UK & Ireland, particularly in procurement and logistics.

Wolseley UK’s managing director Steve Ashmore said: “Knowing that Build Center is highly valued by Jewson, confirms that our decision was right for Build Center as well as Wolseley UK.

“The decision to sell Build Center following a strategic review was made to create the right foundations to ensure Wolseley UK’s continued future success. It is also fully aligned to Wolseley UK’s strategic objectives to focus on being the best merchants in our chosen core markets.”

Peter Hindle MBE, managing director of Jewson, said: “Build Center is a great strategic and geographical fit with Jewson. With branches located across the UK, the business will complement and enhance the Jewson network. Importantly, it will enable us to us to enhance our services and product range to meet customers’ needs more effectively in the future. At present it is business as usual and we are fully committed to supporting our customers’ ongoing requirements. We will make every effort to keep them updated on developments over the next few months. ”

On 22 September Saint-Gobain also signed a memorandum of agreement with Wolseley for the acquisition of Brossette, one of France’s leading plumbing and heating distributors. This followed consultation of the employee representative bodies of each party. Pending approval from the competition authorities, this acquisition should be closed during the first quarter 2012. Brossette has a network of 361 branches and 2650 employees.

Source : Builders’ Merchants News
www.buildersmerchantsnews.co.uk/news/fullstory.php/aid/5056/Build_Center_acquisition_complete.html