TP/BSS: inching toward a deal.
Travis Perkins plans store sales to clear BSS deal
Published: 27 October, 2010
"Travis Perkins believes that these branches will be of interest to a number of eligible buyers and that their sale will not materially impact the strategic and financial attractiveness of the overall transaction," the company said yesterday.
The Office of Fair Trading said in a statement that it found the main overlap between the parties would be in their specialist plumbing and heating supply subsidiaries.
The proposed deal would not give rise to competition concerns at a national level, but that there could be some concerns at the local level, the OFT said. The OFT will now conduct a public consultation on the proposed sale.
If allowed, the deal will create the biggest plumbing and heating trade and retail distribution business. Travis Perkins announced the takeover for £558m in July.
Travis Perkins and BSS said they currently expect to be able to complete the acquisition by the end of December. Shares in Travis Perkins were up 1.9% at 867p in afternoon trading and shares in BSS were up 4.7% yesterday.