PE Deals

CVC-backed STARK builds £740m SGBD deal

The transaction includes brands such as Jewson, Gibbs & Dandy, JP Corry and Jewson Civil Frazer, among others.

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  • CVC Fund VII acquired 100 percent of STARK Group in January 2021
  • STARK is a distributor of heavy building materials for the construction industry in the Nordics and Germany
  • The acquired business is expected to generate net sales of around £2.3 billion

CVC Capital Partners-backed STARK Group bought Saint-Gobain Building Distribution (SGBD) from Compagnie de Saint-Gobain, valuing the firm at £740 million ($909 million; €862 million). STARK takes over 600 branches and distribution centres with the deal.

Saint-Gobain designs, manufactures and distributes materials used in buildings, transportation, infrastructure and in many industrial applications. SGDB comprises 14 brands, all based in the UK, including Jewson, Build Aviator and International Timber. SGBD is headquartered in Leicestershire, England.

CVC expects the acquired business to generate net sales of approximately £2.3 billion.

Copenhagen-based STARK Group is a business-to-business distributor of heavy building materials for the construction industry in the Nordics, Germany and Austria, with a focus on serving professional builders.

STARK acquired Saint-Gobain’s German distribution business, including brands such as Raab Karcher, Melle Gallhöfer, Keramundo, and Muffenrohr, in 2019. CVC Capital Partners Fund VII bought a 100 percent stake in STARK in January 2021.

CVC is a global alternative investment manager focused on private equity, secondaries and credit. It is headquartered in Luxembourg.