REG - Lords Group Trading - Acquisition of Advance Roofing Supplies

Lords TradingAnnouncement

06/01/2022 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20220106:nRSF5705Xa&default-theme=true

RNS Number : 5705X  Lords Group Trading PLC  06 January 2022

 

 

 For immediate release  6 January 2022

 

 

Lords Group Trading plc

("Lords", the "Company" or the "Group")

 

Acquisition of Advance Roofing Supplies

 

Lords, a leading distributor of building materials in the UK, announces that
it has acquired Advance Roofing Supplies Limited ("Advance Roofing Supplies"),
a supplier of roofing materials, for a consideration of £3.74 million of
which £3.49 million has been paid on completion and the balance of £0.25
million is payable twelve months after completion.  As at completion, Advance
Roofing Supplies had excess cash of £0.74 million.

 

Established in 1994, Advance Roofing Supplies, is an independent supplier of
roofing materials, specialising in pitched and flat roofing sales to customers
locally and nationally.  Advance Roofing Supplies currently operates from two
locations, Aylesbury in Buckinghamshire and Long Marston in Hertfordshire.
 The acquisition of Advance Roofing Supplies will offer attractive synergies
with the Group's Merchanting division, increasing product range, and expanding
the Group's customer base particularly in the South East of England.

 

In due course, Lords expect to expand the Advance Roofing Supplies brand via
implant branches into relevant Merchanting locations, starting with the
Beaconsfield site which itself is currently undergoing an extensive
redevelopment to enable extended product range and capacity.

 

For the year ended 31 March 2021, Advance Roofing Supplies generated EBITDA of
£0.6 million on revenues of £6.8 million.  The acquisition has been funded
from Lords' existing resources and is expected to be immediately earnings
accretive post completion.

 

Shanker Patel, Chief Executive Officer of Lords, said:

 

"The acquisition of Advance Roofing Supplies further strengthens our service
capabilities to existing customers and will offer significant synergies with
our Merchanting division.  We are delighted to bring Advance Roofing Supplies
into the Group, and welcome their 15 employees to our team, as we continue to
focus on serving our customers with a wider range of products and services."

 

The information contained within this announcement is deemed by the Company to
constitute inside information pursuant to Article 7 of EU Regulation 596/2014
as it forms part of UK domestic law by virtue of the European Union
(Withdrawal) Act 2018 as amended.  Upon the publication of this announcement
via a Regulatory Information Service, this inside information is now
considered to be in the public domain.

 

- Ends -

 

FOR FURTHER ENQUIRIES:

 

 Lords Group Trading plc                                                     Via Buchanan
 Shanker Patel, Chief Executive Officer                                      Tel: +44 (0) 20 7466 5000
 Chris Day, Chief Financial Officer

 Cenkos Securities plc                                                       Tel: +44 (0)20 7397 8900
 Ben Jeynes / Max Gould / Dan Hodkinson (Corporate Finance)
 Alex Pollen (Sales)

 Buchanan Communications                                                     Tel: +44 (0) 20 7466 5000
 Henry Harrison-Topham / Stephanie Whitmore / Kim Looringh-van Beeck / Kiki  LGT@buchanan.uk.com (mailto:LGT@buchanan.uk.com)
 Norman

 

Notes to editors:

Lords is a specialist distributor of building, plumbing, heating and DIY
goods.  The Group principally sells to local tradesmen, small to medium sized
plumbing and heating merchants, construction companies and retails directly to
the general public.

 

The Group operates through the following two divisions:

 

·     Merchanting: supplies building materials and DIY goods through its
network of merchant businesses and online platform capabilities.  It operates
both in the 'light side' (building materials and timber) and 'heavy side'
(civils and landscaping), through 27 locations in the UK.

 

·     Heating and Plumbing: a specialist distributor in the UK of heating
and plumbing products to a UK network of independent merchants, installers and
the general public.  The division offers its customers an attractive
proposition through a multi-channel offering.  The division operates over
nine locations enabling nationwide next day delivery service.

 

Lords was established over 35 years ago as a family business with its first
retail unit in Gerrards Cross, Buckinghamshire.  Since then, the Group has
grown to a business operating from 36 sites.  Lords aims to become a £500
million turnover building materials distributor group by 2024 as it grows its
national presence.

 

Lords was admitted to trading on AIM in July 2021 with the ticker LORD.L.
For additional information please visit www.lordsgrouptradingplc.co.uk
(http://www.lordsgrouptradingplc.co.uk) .

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  ACQUPUUPGUPPGRA