Grafton Group has extended its mainland European presence by acquiring Gedimat-Ginion, a single- branch general merchanting business in Belgium.
While Grafton has not disclosed how much it paid for the company, the Brussels-based business generated revenues of €4.1m in the 12 months to the end of June.
Grafton said the deal expands and complements its presence in the Brussels market. Last year, the company announced the purchase of the Binje Ackermans merchanting business, which trades as MPRO, from French multinational, Saint-Gobain, for €20.5m in cash.
That deal effectively doubled the size of Grafton’s operations in Belgium.
Davy Stockbrokers suggested in a research note yesterday that based on MPRO’s valuation, a price of between £1.2m and £1.3m for the Gedimat-Ginion business would make sense.
“This latest acquisition further consolidates a market-leading position for Grafton in the Brussels region,” Davy added.
Yesterday’s news follows on from Grafton extending its UK presence four weeks ago; via the acquisition of Direct Builders Merchants, a three-branch merchanting business in the south-east of England.
Grafton is also expected beyond Ireland, the UK and Belgium.
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