Brickability Group to acquire Taylor Maxwell in £63m deal7 June 2021
Brickability Group plc has announced a £63m takeover agreement of Taylor Maxwell.
Brickability, which currently operates businesses in the brick, roofing, plumbing and joinery fields, says the acquisition is due to be approved by shareholders at a June 29 meeting.
Taylor Maxwell has significant timber operations, including fencing, decking, landscaping timbers, construction wood, engineered timber and flooring as well as wood-plastic composites, façade systems and off-site construction solutions. It also has a brick business, with total group turnover exceeding £250m.
Martin Rudge, managing director of Taylor Maxwell, described the move as an exciting new chapter in the history of the business which would benefit employees, customers and suppliers.
“We are very proud of what has been achieved over the last sixty years and how the business has developed into the company it is today,” said Mr Rudge.
“Growth in recent times has been organic and this transaction is seen as a great opportunity to develop the business further as part of a larger organisation."
Brickability delivered annual revenues of £180m in the year ended March 31, 2021 and adjusted EBITDA of £17m. The acquisition of Taylor Maxwell is the 11th strategically significant acquisition made by Brickability since 2018.
“As Brickability continues to grow, this acquisition marks a significant expansion in the range of solutions we can deliver for our growing client base and represents a significant value-add for our shareholders,” said chairman John Richards.
“Taylor Maxwell operates from 16 regional locations across the UK, with minimal overlap against Brickability's existing client base. Over the years, Taylor Maxwell have acquired a wealth of local market knowledge, enabling them to build strong professional relationships with a diverse range of key manufacturers.”
He said the acquisition would bolster Brickability's leading position in UK brick distribution.
Alan Simpson, CEO of Brickability, said Taylor Maxwell had been earmarked for acquisition since IPO, as Brickability believed the union would bring significant short and long-term benefits to both companies and customers.
This year, Taylor Maxwell has announced the acquisition of SBS Cladding LTD, a distributor and fabricator of decorative rainscreen cladding systems, and the renaming of TM Global to Taylor Maxwell Hardwood.
The latter move in April was to better represent the heritage of the company’s hardwood division and offer a clearer understanding of available product ranges. The new name also coincided with the separation of the softwood products into the core timber business.