The European Commission’s deadline for its inquiry into Rexel’s proposed acquisition of Dutch rival Hagemeyer was reached as EMC went to press.

French electrical supplies distributor Rexel said late last year that its Kelium SAS subsidiary formally launched an offer of ¤4.85 per share in Hagemeyer.

The amount was recommended by the Dutch company’s board. The tender period began on 24 December and runs to 4 March.

Hagemeyer shareholders are meeting on 25 February to vote on the proposal. The offer is subject to acceptance by the owners of at least 66.7% of Hagemeyer shares.

As part of the transaction, Rexel has agreed to sell Hagemeyer’s North American, Asian-Pacific and selected European businesses to Sonepar, with estimated proceeds of ¤1.6 billion.

Rexel Senate is Rexel’s UK electrical wholesaler subsidiary. Hagemeyer owns two leading UK distributors: Newey & Eyre and WF Electrical.

Speculation is likely to continue to persist as to whether Rexel will offload one of these subsidiaries if the deal goes ahead.

Source

Electrical and Mechanical Contractor