French building titan Saint-Gobain builds case for Jewson sale
Jewson, one of Britain’s biggest builders’ merchants, is being put up for sale, paving the way for a change of ownership after more than two decades in French ownership.
Jewson, one of Britain’s biggest builders’ merchants, is being put up for sale, paving the way for a change of ownership after more than two decades in French ownership.
Sky News has learnt that Compagnie de Saint-Gobain, the Paris-listed group, has hired investment bankers from JP Morgan to explore a sale of its UK business.
Jewson, which trades from 400 branches and employs approximately 6,000 people, is one of the industry’s best-known names.
It was founded in 1836, and supplies bricks and timber, as well as offering specialist tool hire and landscaping and roofing services.
The valuation that Jewson might attract in a sale was unclear on Wednesday, although one source close to the process suggested that the business could be lossmaking on a standalone basis.
Saint-Gobain does not break out financial or operating data for Jewson in its results.
The UK builders’ merchant has been owned by its French parent company since 2000, when Meyer International was acquired by Saint-Gobain in a deal worth just over £1bn.
A sale of Jewson would come at a time when industry data suggests that UK construction activity is contracting, offering further evidence of a slowing economy.
Jewson competes with prominent names such as Travis Perkins, which is valued at £1.75bn on the London stock market.
Saint-Gobain declined to comment on its plans for Jewson.
