Norcros the Cheshire-based supplier of showers, taps and bathroom accessories has agreed to buy Irish shower enclosure company Merlyn Industries for £60m on a debt-free, cash-free basis from its founders – the Hoyne family – and Dublin-based investment firm Broadlake.
Merlyn is a designer and distributor of mid to high end branded shower enclosures with a turnover of £30.7m and operating profit of £6.4m and Norcros said the acquisition was consistent with its strategy to enhance its bathroom product portfolio by adding established brands.
Kilkenny-based Merlyn’s CEO Charlie Soden will continue to run the business, along with the existing management team, under Norcros’s ownership. Norcros said the acquisition will enable it to offer a one-stop shop to the trade and specification segments in the UK.
“The acquisition of Merlyn with its premium brands and market leading positions is an exciting addition to the Group, substantially broadening our bathroom product offering,” said Norcros group chief executive Nick Kelsall. “Merlyn’s focus on design, new product development and its standard of customer service will significantly enhance the group’s portfolio. I look forward to working with Charlie and his team, whose experience and enthusiasm for the business has impressed greatly, as we look to grow and develop the Merlyn business further.”
“I have admired what Nick and his team have achieved at Norcros, growing the business both organically and through its acquisition strategy. I am sure that Charlie and the team will embrace the opportunities that being part of the enlarged Norcros family with its range of channels, products and international breadth will bring, as they look to drive the Merlyn business on to the next level,” said Michael Hoyne the founder and majority shareholder in Merlyn.
Merlyn is the latest of Norcros' recent acquisitions, which include Abode in 2016, Croydex in 2015 and Vado in 2013. Norcros is also parent company of Triton Showers, Johnson Tiles and Norcros Adhesives. Group revenue at Norcros is expected to reach £144.9m in the first half of the financial year, ending on 30th September 2017, up 12.5% on the same period the previous year.
Winner of Most Innovative Company awards, Deloitte’s Best Managed Company 2017 award and numerous other accolades and with Merlyn Showering having attained a No1 market position in the UK and Ireland it is clear to see why Norcros singled Merlyn out for acquistion.
