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(Bloomberg) — French electrical equipment distributor Rexel SA plans to make more bolt-on acquisitions in countries such the US and Canada to tap a boom in data centers and manufacturing, after announcing its 16th deal in North America since 2020.
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The Paris-based company on Tuesday unveiled a plan to buy Revere Electrical Supply, a US distributor specializing in industrial automation systems in the Midwest that had about $330 million in sales last year. The value of the deal, Rexel’s second-biggest in North America since the 2021 acquisition of Mayer for an enterprise value of $456 million, wasn’t disclosed.
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For the expansion of Rexel’s core business, “our main target is North America, and the US notably, for the simple reason that we have a small market share,” Rexel Chief Executive Officer Guillaume Texier said in an interview. The company may seek to buy other businesses like Revere that benefit from technological “megatrends” such as solar power and telecommunications, not just in North America, as well as smaller companies that can pre-assemble equipment for clients, he said.
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Shares of Rexel have almost tripled over the past decade after activist investor Cevian Capital AB started building a stake in the company. Cevian has become the company’s top investor, with a 23% at the end of last year, according to the latest filing data compiled by Bloomberg.
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The stock has also benefited from an artificial intelligence-driven tech boom, and got a boost in 2024 when QXO Inc. made an unsolicited offer to buy Rexel for more than $9 billion, which was rejected at the time by the French company.
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Rexel, which strengthened its presence in several Western European countries and North America through deals in recent years, continues to plan acquisitions each year that typically add a combined €400 million ($470 million) to €600 million to its revenue, the CEO said. The US and Canada accounted for 46% of the group’s 2025 sales, which amounted to €19.4 billion, according to the latest annual report.
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The purchase of Reverse Electrical Supply, funded in part by a recent convertible bond sale, will boost Rexel’s sales to manufacturing industries in the Midwest that benefits from US tariffs, Texier said. It should also benefit from growing demand from projects in sectors such water treatment, logistics, e-commerce and data centers, he said.
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Rexel doesn’t have plans for large acquisitions, the CEO said.
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