Woodie's DIY owner acquires Dutch business for €131m
Grafton Group has acquired Dutch business Polvo for €131m on a debt free and cash free basis.
Polvo is one of the top three businesses in the specialist ironmongery, tools, ventilation systems, fixings and related products market in the Netherlands.
It trades from 51 branches.
Polvo reported revenue of €127.3m and adjusted operating profit of €10.6m for the year ended 31 December 2018.
The group's gross assets were €64m at the end of last year.
The purchase consideration of €131m includes €15m for nine freehold properties, and will be funded from Grafton's cash resources and loan facilities.
This acquisition furthers Grafton’s presence in the Netherlands, where it already has the Isero tools store business.
The combined businesses will have revenues in excess of €300m and trade from 113 branches.
Gavin Slark, CEO of Grafton, said: "This acquisition will complement our existing Isero business, increase our exposure to the attractive, fast growing Dutch market and support our strategy of creating a more balanced portfolio of businesses internationally.”
“Polvo is a long-established high quality business and brand that gives Grafton a unique opportunity to materially increase its scale and consolidate its market leadership position in The Netherlands."
In Ireland Grafton owns the Woodies DIY chain as well as builders merchanting outlets Chadwicks and Heiton Buckley.