Building materials and DIY firm Grafton Group has agreed to buy HSS Hire Ireland Limited from HSS Hire Group for a total consideration of €31.6m on a cash and debt free basis.
HSS Hire Ireland is a tool and equipment hire specialist, which operates from four branches and four customer distribution centres in Ireland. It offers a range of conventional hire products as well as specialist equipment with a particular focus on powered access.
Following completion of the deal, Grafton said it plans to operate the HSS Hire Ireland business as part of Chadwicks, its Irish distribution business.
Chadwicks also operates the Sam Hire brand which focuses on smaller plant and tool hire from 23 locations across its branch network.
Grafton said today’s deal presents a “unique opportunity” for Chadwicks to offer a comprehensive national hire service to its customers from small DIY jobs up to large civil works.
The transaction is fully in line with the Chadwicks strategy to extend its offering and acquire competencies in product adjacencies, it added.
For the financial year ended 28 December 2024, HSS Hire Ireland generated adjusted unaudited revenue of €31.9m and adjusted unaudited EBITA of €3.9m.
Grafton said the deal for HSS Hire is expected to deliver an “attractive” return on invested capital and to be earnings-enhancing in its first full financial year following acquisition.
The deal is still subject to approval from the Competition and Consumer Protection Commission.
Eric Born, the chief executive of Grafton Group, said HSS Hire Ireland is a well-respected tool and equipment hire business and brand with a strong and experienced management team.
“This transaction is in line with Grafton’s strategy to strengthen our market positions in existing and adjacent markets and will broaden the offering of our Chadwicks business in the Republic of Ireland where we continue to see compelling opportunities for further growth,” Mr Born added.
