Builders’ merchant and DIY retailer Travis Perkins has bought up the remaining 70 per cent of Toolstation in a £24 million deal.
The acquisition from Mark Goddard-Watts and his family trusts comes after Travis Perkins bought a 30 per cent stake in its rival in 2008, with an option to purchase the remaining share capital.
The total deal comes to at least £42m, including £24m now and £18m previously paid for the initial 30 per cent shareholding and option. There will be a further payment dependent upon future performance and expansion of the business by December 2013.
Travis Perkins said Toolstation has a strong internet and catalogue-based operation and a rapidly expanding branch network across Great Britain. Its network has expanded from 12 outlets in 2008 to 103 outlets today.
The current management team at Toolstation remain in place.
Geoff Cooper, chief executive of Travis Perkins said: “Toolstation is a great addition to our consumer division and will add to our growth in market share and returns.
“Following this acquisition of the outstanding equity, we will look to further exploit Toolstation as part of our service to the trade and to DIY customers.”
Toolstation has gross assets of £34m and generated EBITDA of £5m in the financial year to 31 December 2011. Travis Perkins consumer division also consists of Wickes and Tile Giant.