Following a competitive sale process, Saint-Gobain has signed a binding agreement for the sale of all its merchanting brands in the United Kingdom – including the builders and timber merchant Jewson – to the Stark group.
The divested assets are expected to generate revenues of around EUR 2.7 billion in 2022 with an operating margin of around 2 percent. They comprise 600 outlets and employ 8,900 people. The divestment is based on an enterprise value of GBP 740 million, i.e. around EUR 850 million.
This transaction is expected to be completed in the first quarter of 2023 and is not subject to any external conditions. Saint-Gobain will then no longer have any distribution businesses in the United Kingdom.
It follows the divestment of specialist distribution brands in the United Kingdom over the last 18 months representing around EUR 650 million of revenues at around break-even in terms of operating margin, based on an enterprise value of around EUR 200 million.