Builders merchanting group Grafton has acquired London based decorators’ merchant business Leyland SDM.
Grafton, which owns the Woodies DIY chain in Ireland, as well as merchanting businesses that operate as Chadwicks and Heiton Buckley, spent £82.4m (€93m) on the acquisition. Last year revenue and earnings before interest and tax at Leyland SDM were £47.8m and £7.3m respectively. Gross assets are estimated at circa £10m at completion of the deal.
Describing the acquisition as a “unique opportunity to acquire a leading brand with exceptional locations,” Gavin Slark – CEO of Grafton – said that the acquisition expanded Grafton’s presence in a resilient segment of the merchanting market located at the heart of one of the world’s leading cities.
Last year Grafton reported revenue of £2.7bn (€3.03bn) in constant currency rates, a 6.8pc increase year-on-year. Grafton said that both its merchanting and retail arms in Ireland experienced a lift from an economic recovery that will continue this year.