Saint-Gobain announced on Monday that it has signed a binding agreement to sell its specialist distribution business in Sweden, Norway and Denmark to Kesko for €1.518 billion. The business operates predominantly under the Dahl brand and reported sales of approximately €2 billion in 2025.
The divested unit runs 190 outlets across the three Nordic countries and employs about 2,700 people. It holds a leading position in plumbing, sanitary and heating distribution across Sweden, Norway and Denmark.
Saint-Gobain said the transaction values the business at 10.4 times 2025 EBITDA when including lease commitments accounted for under IFRS 16. Excluding those lease commitments, the multiple is 14.6 times 2025 EBITDA.
Completion of the sale is expected by early 2027, subject to customary regulatory approvals from competition authorities and the completion of required information and consultation processes with relevant employee representative bodies.
Strategic rationale and statements
Benoit Bazin, chairman and chief executive officer of Saint-Gobain, said the transaction is in line with the company’s efforts to optimise its business profile through targeted investments, acquisitions and divestments under its "Lead & Grow" plan. He added that Kesko will form a strong business combination with Dahl to the benefit of customers in the plumbing, sanitary and heating sectors in the region.
The companies also noted that the deal reinforces the strategic partnership between Kesko and Saint-Gobain in the Nordic region.
Advisers
Citi acted as financial adviser to Saint-Gobain, with Linklaters providing legal counsel on the transaction.
Further procedural steps remain before closing, including regulatory review and employee consultations, and the parties indicated the expected timeline is to complete the transaction by early 2027 if those steps are successfully concluded.