The sites generated revenue from ongoing business in the three months ended 30 September 2012 of approximately £40m.
With Burdens having close top 50 depots int he UK and Ireland and annual turnover of approximately £330m, the deal represents about half of Burdens' business.
Consideration is expected to amount to approximately £30m including goodwill of £5m. Approximately 600 Burdens employees will join Wolseley, while 500 will stay with Burdens.
Burdens’ sites will be integrated with Wolseley UK’s core businesses and Wolseley will have exclusive use of the Burdens name in the UK. Burdens has yet to disclose what name it will use for the rump of the business.
Wolseley chief executive Ian Meakins said: “Like our other UK businesses, Burdens has a well established reputation. The acquisition will extend the reach of the Group's successful utilities business in the UK and gain one of the leading positions in the underground drainage sector. We warmly welcome the Burdens staff that are transferring into the group and look forward to building the pre-eminent brand in this attractive market.”
Last month WT Burdens took the precautionary step of serving notice of appointing an administrator, pending negotiation of this deal, which was made more complex by the fact that Burdens’ is – or was – co-owned by employees.
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