Negotiation News

At The Gap Partnership we recognise the importance of staying relevant in challenging conditions. We constantly monitor on-line resources, newspapers, magazines and business journals for articles which highlight the impact of negotiation on business strategy.

The Gap Partnership

Travis Perkins buys rival firm in £557m deal

Travis now biggest UK heating and plumbing specialist

06 July 2010

Travis Perkins has successfully negotiated the acquisition of rival firm BSS in a £557 million deal.

The deal will make Travis the largest heating and plumbing business in the UK, above industry giant Wolseley.

The newly formed firm will have combined annual revenues of around £4.3 billion and employ 19,000 staff.

Robert Walker, chairman of Travis Perkins, claimed the deal would combine the firms scale and strength with the expertise of BSS.

He said: "Travis Perkins believes that the recession accelerated the long-term trend of customers' increasing use of different distribution channels to source building materials

"Against this backdrop, Travis Perkins believes there is a powerful strategic logic which underpins a combination of Travis Perkins' plumbing and heating activities with BSS"

Travis, the owner of DIY chain Wickes, paid 435.4 pence for each BSS share, representing a 34 per cent premium for BSS shareholders.

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