REECE LIMITED — M&A Activity 2017

Oct 1, 2017

Announcement

2 October 2017

The Reece Group acquisition of Viadux.

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The Reece Group has purchased 100% of Viadux.

• Viadux was purchased from Crescent Capital Partners, an Australian private equity fund.

> The acquisition is effective 30 September 2017.

> The acquisition was funded by cash reserves.

• The purchase is an excellent strategic fit for Reece, as the two businesses are complementary.

• Viadux supplies the large pipe distribution segment of the civil market, from source to reticulation.

• Reece supplies the broader water distribution market, from civil to industrial, commercial and residential.

• Viadux will continue to operate as a separate entity under its own brand.

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Viadux is the market leader in the Australian civil water.

> Leading distributor of water pipeline systems to the Australian civil water market

9 strategic locations

100+ staff

> Significant history, expertise and market loyalty

> 9 strategic locations across Australia

> Comprehensive product range, including significant exclusive agreements with global suppliers

1,400+ customers

> Blue chip customer base of civil contractors, water utilities and councils

> Strong revenue base diversified by geography and customer base

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$100M+ revenue (FY 16/17)

The acquisition is an excellent strategic fit.

Viadux is a complementary business to Reece Civil as the two businesses operate in different customer segments of the same market. Viadux supplies large scale water distribution systems to water utilities, councils and civil contractors. Reece Civil supplies smaller gauge pipe systems to the civil, commercial and residential segments.

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water works

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reece.com.au