REXEL ACQUIRES A CANADIAN UTILITY DISTRIBUTION BUSINESS FROM WESCO
REXEL ACQUIRES A CANADIAN UTILITY
DISTRIBUTION BUSINESS FROM WESCO
Rexel announced today it has acquired the Canadian Utility business of WESCO International (“WESCO Canada Utility”). WESCO International had sought to sell the business in connection with its Consent Agreement with the Competition Bureau of Canada regarding its merger with Anixter International, which closed in June 2020.
The acquisition of WESCO Canada Utility will provide Rexel with enhanced development opportunities in an attractive and resilient business. It also allows Rexel to offer a complementary range of products to its existing utility contractor customer base and to further expand its footprint in the country.
WESCO Canada Utility supports public power utility producers and utility contractors in Canada, where hydroelectricity accounts for more than 60% of electricity generation and more than two-thirds comes from green energy. The business operates four branches in Canada with approximately 60 employees and sales over $70M. The range of products (pole line hardware, cable accessories, connectors, and transformers) is largely used for maintenance and upgrade activities.
Roger Little, Group Executive Committee member and Chief Executive Officer of Rexel Canada, declared: “I am pleased that WESCO Canada Utility’s team and competencies will join our Group. This is a unique opportunity for Rexel to accelerate its development in Canada in the attractive and green hydro utility business and to increase its recurring service revenues.”
Patrick Berard, Chief Executive Officer of Rexel, commented: “This transaction demonstrates our intention to resume our acquisition strategy, now that the group is back on sound footing and has reduced its leverage. The ambition is to acquire businesses that are complementary to our activity and can create further value for our stakeholders.”
ABOUT REXEL GROUP
Rexel, worldwide expert in the multichannel professional distribution of products and services for the energy world, addresses three main markets - residential, commercial and industrial. The Group supports its residential, commercial and industrial customers by providing a tailored and scalable range of products and services in energy management for construction, renovation, production and maintenance. Rexel operates through a network of more than 1,900 branches in 26 countries, with more than 26,000 employees. The Group’s sales were €13.74 billion in 2019. Rexel is listed on the Eurolist market of Euronext Paris (compartment A, ticker RXL, ISIN code FR0010451203). It is included in the following indices: SBF 120, CAC Mid 100, CAC AllTrade, CAC AllShares, FTSE EuroMid, STOXX600. Rexel is also part of the following SRI indices: FTSE4Good, Euronext Vigeo Europe 120 Index, Dow Jones Sustainability Index Europe, STOXX® Global ESG Environmental Leaders and Global 100 index, in recognition of its performance in corporate social responsibility (CSR). Rexel is on the CDP “Climate A- List”. For more information, visit Rexel’s web site at .
CONTACTS
FINANCIAL ANALYSTS / INVESTORS
| Ludovic DEBAILLEUX | 12 |
PRESS
| Brunswick: Thomas KAMM | 92 |
Attachment
