Wolseley announced that it will dispose of 100% of its shareholding in Wolseley Ireland Holdings Limited (WIHL) to WIBHM Limited.
Wolseleyannounced that it will dispose of 100% of its shareholding in Wolseley Ireland
Holdings Limited (WIHL) to WIBHM Limited, a private investor-backed company,
for total consideration of E26.5 million (P23.8 million).
the Company's entire interest in the Republic of Ireland including the Heat
Merchants, Brooks, Tubs and Tiles and Encon Ireland trading brands and also
includes the Brooks business in Northern Ireland. The combined businesses
operate through a network of 67 branches and approximately 650 employees.
disposing of the businesses in line with its strategy of focusing its
activities where they have been more successful.
Meakinscommented, "I am confident that the transaction we have
concluded with WIBHM Limited represents a good outcome for Wolseley's
shareholders. It will also enable us to bring an even greater degree of focus
on driving performance improvement in our core UK businesses."
consideration of E6.5 million (P5.8 million) was paid on completion. The
balance of E20 million (P18 million) will be satisfied through a loan note
issued in favor of Wolseley at a coupon of 10%, to be repaid within one year.
Under the terms of the agreement, Wolseley has agreed to fund the deficit in
the Northern Ireland pension scheme (currently estimated to be E5.5 million
(P4.9 million)), and this will be repaid by the purchaser by means of a
separate loan note with a coupon of 3%.
Wolseley Disposes of Irish Business
January 12, 2010