Travis Perkins is planning a spending spree that could see the builders’ merchant grow from 740 branches to 1,200 in the next six years.
It plans 60-70 branches this year alone. It opened 35 in the first half – mainly individual sites rather than large acquisitions.
The company generates £150m in free cash-flow each year which gives it a strong war chest for acquisitions and it has easy access to borrowing which could take its buying power for acquisitions to £800m.
References: Financial Times 07/09/04 page 26, The Times (Compact) 07/09/04 page 42, page 49 (Tempus), The Daily Telegraph 07/09/04 page 28 (Questor), page 29, The Independent 07/09/04 page 43 (Investment)
