Polypipe to sell French operations

French firm Ryb will pay €16.5m on a debt free, cash-free and normalised working capital basis for Polypipe France.

Polypipe France generated revenue of approximately €67.6m and underlying operating profit of approximately €1.5m for the year ended December 31, 2017.

The transaction, which is subject to an employee consultation, is expected to be completed in the first half of 2018.

Martin Payne, CEO of Polypipe, said: “Polypipe France has historically operated in a competitive area of the French construction market and will be better able to grow under new ownership.

“In line with its strategy, Polypipe will continue to focus its resources fully on delivering profitable growth, both organically and by acquisition, through legacy material substitution, legislative tailwinds in water management and carbon reduction, and geographic reach.”

The Doncaster-based business said performance for the full year was in line with management expectations in a trading update.

Polypipe operates from 20 facilities in total and has over 20,000 product lines. The group primarily targets the UK and European building and construction markets with a presence in Italy and the Middle East.