Brickability that distributes building products has come up with a huge announcement on its purchase of Taylor Maxwell. The merger of Maxwell into Brickability will allow the purchased firm to double its size after the deal is accomplished.
Brickability Group plans a share placing to fund the £63m acquisition of Taylor Maxwell, while it’s listed on the Alternative Investment Market (AIM). The placing comprises a £55m primary placing on behalf of the company and a £38m placing on behalf of selling shareholders.
The acquisition of funds will see Net proceeds of £52.7m on Taylor Maxwell and future bolt-on acquisitions, directors said. Also, the conditionally agreed transaction turns the company management from majority owners to minority owners.
Besides, directors and management at Brickability will retain a shareholding of approximately 28.3%, down from approximately 54%. However, this needs to be formally ratified by shareholders at a meeting on 29th June 2021.
Brickability named on AIM in 2019 with the intention of growing by acquisition. The first purchase after the move was McCann Roofing Products, a distributor and importer. Alongside, Taylor Maxwell turned over £250m last year.
Brickability has turned over £187m in 2020 while it describes itself as the UK’s market leading supplier of blocks, facing bricks, rain screen cladding systems, roof tiles and slates, architectural masonry to the construction industry. The group includes DSH Flooring, Crest, Frazer Simpson doors and windows, Crown Excel and McCann roofing products.
Taylor Maxwell was founded in 1959 by R. Taylor and Eric Mclean Maxwell. Headquartered in Clifton, it is a leading supplier of timber and cladding – both new product segments for Brickability.
Key customers for Maxwell include Vistry Group, Bloor Homes, Lovell Homes, MKM Building suppliers and AVS Fencing and Landscaping Supplies. Taylor Maxwell operates from 16 office and showroom locations across the UK.