Ferguson sells Wolseley to private equity firm
UK business offloaded
Plumbers merchant Ferguson has announced the sale of its UK division Wolseley UK in a £308 million deal to private investment firm Clayton, Dubilier & Rice.
The FTSE 100 company said Wolseley UK, which has been up for sale since September 2019, made a trading profit of £8m from revenue of £1.9bn in the year ended 31 July 2020.
Following completion of the disposal, responsibility for the UK defined benefit pension scheme will be retained within the Ferguson Group.
The sale is expected to complete at the end of of this month. After that, Ferguson plans to update shareholders on the use of the proceeds of sale.
The board intends to make a return of substantially all of the net cash proceeds of the sale to shareholders by way of a special dividend.