Leading south east law firm DMH Stallard has advised Chandlers Building Supplies Limited on their transaction with Cairngorm Capital resulting in Chandlers merging with Parker Building Supplies Limited.
With combined revenues of £180 million and over 750 employees, the merger creates one of the largest independent building suppliers in the UK.
Headquartered in Ringmer, East Sussex and privately owned, Chandlers was established in 1993 and has 14 branches across the south east and the West Midlands.
Helen Mead, Partner at DMH Stallard, led the team advising Chandlers. Tom Watkins (Partner, Property) and Kate Norgett (Partner, Corporate) assisted on the transaction.
Helen said: “This is a major regional transaction that creates a real powerhouse in the building supplies sector.
“Chandlers has been a long-standing client of mine for many years and has grown to become a fantastic south east business, employing over 230 people.
“The merger with Parker Building Supplies will give these dynamic businesses the strategic platform for even greater growth and development.”
Parker Building Supplies is also based in East Sussex and boasts 24 branches serving Surrey, Sussex and Kent, over 500 employees and combined revenues of £120 million.
Financial advice on the merger was provided by RSM Corporate Finance. Kirsty Sandwell, RSM's head of M&A who was lead adviser on the deal, supported by David Rowlinson and Ravi Patel.
Kirsty said: "The evolution of the Chandlers business over many years resulted in a complex ownership structure involving three families, and this meant there were a number of property and tax planning hurdles to overcome. Merging a family business like this with a larger private equity-backed player is not always straightforward, so we were delighted to be able to use our experience to guide the families through the process and get this deal over the line."