LIMOGES, France--(BUSINESS WIRE)--Regulatory News:
Legrand (Paris:LR) is pursuing its strategy of acquiring small- and mid-size bolt-on3 companies and today announced it:
- purchased1 Shenzhen Clever Electronic Co., Ltd., the Chinese leader in intelligent PDUs4 for data centers; and
- planned to take a majority stake2 in Debflex, a French frontrunner in electrical equipment for DIY5 activities.
Purchase1 of Shenzhen Clever Electronic Co., Ltd.
Legrand announced today the purchase1 of Shenzhen Clever Electronic Co., Ltd., the Chinese leader in intelligent PDUs4 for data centers. Shenzhen Clever Electronic Co., Ltd. thus rounds out the Group’s existing product offering in a high added-value segment, where Legrand is already number one in the United States with its Raritan and Server Technology brands.
The move thus strengthens Legrand’s positions in China and further expands the Group’s international presence in data centers, a market where demand is fueled by a steady rise in data flows and the digitalization of the world economy.
Based in Shenzhen (Guangdong province), Shenzhen Clever Electronic Co., Ltd. has nearly 360 employees and reports annual sales of around €24 million, with some 80% in China.
Plan to take majority stake2 in Debflex
Legrand also announced today it planned to take a majority2 stake in Debflex, a French frontrunner in electrical equipment for DIY5 activities.
Known for their quality and design, Debflex’s products will round out Legrand’s offering in the expanding DIY5 segment in France.
Debflex is based in Feuquières-en-Vimeu (Somme, Northern France) and has a workforce of around 120. Its annual sales total approximately €35 million, made primarily in France.
1 Legrand has already acquired a majority stake in Shenzhen
Clever Electronic, Co., Ltd. and, subject to standard conditions
precedent, will raise its stake to 100% in the coming months.
2 Legrand plans to acquire 100% of the capital of R. Finances SAS, the majority shareholder of Debflex S.A., a company listed on Euronext Access Paris (ISIN FR0010776658), and gets exclusive negotiating rights from R. Finances SAS’ shareholders. The considered transaction remains subject to information-consultation procedures and standard conditions precedent. Subject to the conclusion and the realization of this acquisition, Legrand intends to acquire the remaining capital of Debflex in a second stage.
3 Companies that complement Legrand’s activities.
4 PDU: Power Distribution Unit.
5 DIY = Do-It-Yourself.
KEY FINANCIAL DATES
2018 first-half results: July 31, 2018
“Quiet period1” starts July 1, 2018
2018 9-month results: November 8, 2018
“Quiet period1” starts October 8, 2018
Legrand is the global specialist in electrical and digital building
infrastructures. Its comprehensive offering of solutions for commercial,
industrial and residential markets makes it a benchmark for customers
worldwide. Drawing on an approach that involves all teams and
stakeholders, Legrand is pursuing its strategy of profitable and
sustainable growth driven by acquisitions and innovation, with a steady
flow of new offerings—including Eliot* connected products with enhanced
value in use. Legrand reported sales of more than €5.5 billion in 2017.
The company is listed on Euronext Paris and is notably a component stock
of the CAC 40 index.
(code ISIN FR0010307819)
*Eliot is a program launched in 2015 by Legrand to speed up
deployment of the Internet of Things in its offering. A result of the
group’s innovation strategy, Eliot aims to develop connected and
interoperable solutions that deliver lasting benefits to private
individual users and professionals.
1 Period of time when all communication is suspended in the run-up to publication of results.