Travis Perkins plc, the UK’s largest merchanting group announced this morning (January 13th) that it has sold its plumbing and heating distribution business, Primaflow F & P, to Newbury Investments (UK) Ltd, a specialist distribution group.
In December 2018, Travis Perkins announced a strategy to simplify and focus on its trade businesses. The sale of Primaflow F&P is for cash consideration of £46m before working capital adjustments. The process is expected to complete at the end of January 2020 and the proceeds will be used to reduce Group net debt.
Primaflow F&P is a national wholesale distributor of branded plumbing and heating systems and has been part of the Travis Perkins Group since 2010 when Travis Perkins acquired the BSS group. For the year ended 31 December 2018, attributable profits after adjusting items were £5m. Gross assets amounted to £102m as at 30 June 2019.
Nick Roberts, Chief Executive, said: “The divestment of our wholesale plumbing & heating business is a further step in reducing the Group’s overall complexity and enabling greater focus and more disciplined capital allocation to our advantaged trade-focused businesses.”