Rexel wraps up Hagemeyer bid

Industrial Distribution staff -- Industrial Distribution, 3/7/2008 5:18:00 AM

Once the deal is consummated, Rexel’s French peer Sonepar will buy Hagemeyer’s businesses in the United States, Canada, Mexico, Australia, Switzerland, Austria, Sweden, China, Malaysia, Thailand, Singapore and six branches in Germany. The deal also includes a provision that would see the two French competitors swap their German and Swedish operations to satisfy European anti-trust regulations. The European Union gave its final approval of the buyout Feb. 22.

Rexel said it received acceptances for 96 percent of Hagemeyer’s outstanding shares and 97 percent of the company’s bonds.

“The success of our offer for Hagemeyer underscores the strategic merits of the transaction, which marks a step change in the distribution of electrical supplies worldwide and reinforces Rexel's leading market positions in Europe,” Rexel chairman Jean-Charles Pauze said. “We are greatly looking forward to moving on to the next stage, working with Hagemeyer's teams and building on a stronger platform to accelerate profitable growth."

Hagemeyer’s last day of trading on the Euronext Amsterdam exchange is set to be April 18; delisting is expected to occur April 21.