Wolseley, the FTSE 100 plumbers' merchant, has acquired Davis & Warshow, a residential and commercial plumbing supplier in the New York metropolitan area.
The purchase was made for a cash consideration of £49m.
In the year ended December 31st 2011 the business generated revenue of £72m and trading profit of £5.3m. The net assets acquired were £24m.
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The business, which operates from 11 locations, including seven plumbing branches and three stand alone showrooms, will be integrated with Wolseley's US Blended Branches business.
"The acquisition of a long-standing, well-respected business such as Davis & Warshow allows us to enter the greater New York City area, where we have historically been under-represented," said Wolseley Chief Executive Officer Ian Meakins.
"It also provides a solid platform for future growth and expansion in this large and attractive market."
The share price nudged 0.07% higher to 2,690p in the hour following the announcement.
NR
