UPM sells Brooks Manson to Wolseley

UPM-Kymmene has sold its 11 Brooks Manson depots in the Midlands to Wolseley Centers, a move that effectively terminates its role as a UK merchanting operator.
The outlets, which generate sales of £30m for UPM-Kymmene and employ 150 people, were not seen as a “vital element of the UPM-Kymmene business in the UK” and were signed over to Wolseley’s Timber Center operation on August 19.
The depots were UPM-Kymmene’s only remaining merchant outlets in the UK.
Brooks Manson’s further processing and wholesale operations at Dinnington are to be integrated into UPM-Kymmene’s recently-established WISA service centre in Hull.
UPM-Kymmene marketing director Kjell Nylund told TTJ that the merchant sites had to go because “they were not too profitable” and were not a core part of the UPM-Kymmene business.
“We are concentrating on our core activities in the UK, a process that began at the beginning of the year. We are focusing on wholesaling, planing and our forwarding office at Hemel Hempstead. I can’t see us going back into UK merchanting in the future,” he said.
The sale of the Brooks Manson outlets leaves UPM-Kymmene with three merchant chains: Brooks Group Ltd in Ireland, Puukeskus Oy in Finland and Anco Trae A/S in Denmark.
Additionally the e1.5bn turnover company operates the Schauman Wood and United Sawmills operations.
Wolseley, which has a turnover of £7bn, distributes building materials from more than 2,750 outlets in Europe and North America. In Europe its 1,615 branches, which include Builder Center and Plumb Center, generate sales of £2.4bn. The UK operation stands at 27 outlets, to which Brooks Manson’s will be added.
David Hunter, managing director of Wolseley’s Timber Centers, said: “The acquisition is an excellent fit. Brooks Manson’s branch locations are well sited in relation to our existing outlets.”

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