LONDON (ShareCast) - (Sharecast News) - Industrial product and service solutions provider RS Group has acquired leading Mexican distributor Risoul y Cia for $275.0m in cash.
RS Group, formerly known as Electrocomponents, said on Wednesday that its acquisition of Risoul, which was on a cash- and debt-free basis, was part of an effort to deliver on the group's strategy to accelerate organic growth through "high-quality inorganic opportunities" that expand its geographic reach, extend targeted product adjacencies and develop its product and service solutions offer.

The FTSE 100-listed firm highlighted that the consideration for Risoul represented an acquisition multiple of roughly 12.0x adjusted underlying earnings on a twelve-month basis to 30 June.

Chief executive Lindsley Ruth said: "We are accelerating our organic growth with bolt-on acquisitions that meet our key strategic, financial, and cultural criteria. Risoul enables RS to expand our position and execution expertise in the Americas, specifically in Mexico and the rest of Latin America, and drive cross-selling synergies across our product and service solutions offer.

"As part of RS Group, Risoul will benefit from our digital capabilities and international scale, providing an opportunity to expand beyond its existing strengths, while creating new capabilities. We are excited about the growth opportunities we see as part of our Journey to Greatness and welcome the Risoul team to the RS Group."





Reporting by Iain Gilbert at Sharecast.com

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