01.12.2003

Wolseley enters the Swiss market

Wolseley plc, the world's leading trade distributor of plumbing,
heating and building material products and owner of Hire Centers, the UK based tool hire company, announced today that it had acquired Tobler Management Holding AG from CapVis, a financial investor.

The acquisition of Tobler is in line with Wolseley's stated strategy of the wider expansion of its operations into new geographic markets. Wolseley now has a presence in 13 countries. The cash consideration of CHF118 million (UK£52 million), including net debt acquired, was financed from Wolseley's existing resources. The acquisition was completed on 28 November, this year.

With a claimed market share of around 22 per cent, Tobler is the leading wholesaler for heating, ventilation and air-conditioning products in Switzerland and is also one of the leading providers of technical maintenance services.

For the year ended 31 December 2002, Tobler reported sales of CHF236 million (£105 million) and operating profit, before goodwill amortisation, of CHF15.8 million (£7.0 million). Net assets, excluding debt, at that date were CHF76 million (£34 million).

Tobler employs approximately 600 people across its
21-branch network, which are supported by six 'super branches'.

The key operational management of Tobler will remain with the business and join the Wolseley group, reporting to Gerard Legtmann, Wolseley's Chief Executive Officer Europe.

This is Wolseley's fourth acquisition since the beginning of its financial year on 1 August 2003, taking total acquisition sexpenditure to £66 million. The acquisitions are expected to add an additional £142 million to the company’s sales in a full year.

Charlie Banks, Group Chief Executive, said: "We are delighted to announce this acquisition, which is in line with our strategy to expand our operations in continental Europe. Tobler is an excellent company and, as the leader in the Swiss market, it provides Wolseley with a platform for further organic growth."