Rexel is a French group founded in 1967, which specializes in the distribution of electrical supplies to professional users. It distributes products and services in the areas of automation, technical supply and energy management. The company offers a wide range of products and services, including products in the lighting, security, automation, climate control, communication, building automation and renewable energies sectors. The group has 2,000 sales outlets (branches) in 32 countries and 27,000 employees.
Video Rexel
History
1967-90 -- Creation: CDME, from French to international
The Rexel group originated from the Compagnie de Distribution de Matériel Electrique (CDME), created in 1967 by Compagnie LEBON. CDME was created by the merger of four companies (Revimex, Facen, Sotel and Lienard-Soval). Specialised in the sale of electronical supplies, the company developed in France by acquiring family-run regional companies. In 1978, CDME launched a branch for the distribution of professional electronic and computing equipment, and diversified into the industrial supplies trade.
From the 1980s, CDME developed in European and international markets, establishing a presence in Cyprus, Saudi Arabia, Portugal, Benelux, the Federal Republic of Germany, Singapore, and Canada.
In 1983, CDME entered the unlisted securities market of the Paris stock exchange. It was at that time that it became the leading distributor of electrical supplies in France with more than 20 percent of the domestic market and a 6-percent share worldwide. In 1986, the company established a presence in the United States. At that time, it had around 350 sales outlets, including 65 abroad. In 1987, the Compagnie Française de l'Afrique Occidentale (CFAO) became CDME's largest shareholder (68 percent).
1990-2005: the construction of the Rexel Group
Pinault Group acquired a majority stake in CDME in December 1990; CDME was then the biggest distributor of electrical supplies (30 percent market share) in France, Belgium and Portugal; this new subsidiary represented 38 percent of the Pinault Group revenue. In June 1993, CDME merged with Groupelec Distribution (third on the French market). The group adopted the Rexel name.
In the 1990s, the group refocused its business on the distribution of electrical supplies selling most of its professional electrical distribution business in 1988 and in 1994 its subsidiary GDFI, the leading French distributor of industrial supplies.
Gradually, the Group's subsidiaries undertook the brand name: Willcox & Gibbs in the United States became Rexel Inc. in 1995, Rexel Italia was created in 2000 from the merger of 10 Italian subsidiaries, and the first joint venture was created in China under the Rexel Hailongxing name.
In 2001, Rexel generated 75 percent of its revenues abroad. At the time, the Group had acquired a preeminent role in its sector with 1,900 sales outlets and 25,000 employees in 33 countries, and it was actively pursuing its acquisitions policy.
2005-11: worldwide development
The PPR Group (Pinault-Printemps-Redoute) announced the sale of Rexel, which became definitive on March 16, 2005 when a capital stake was acquired by a consortium made up of Clayton, Dubilier & Rice, Eurazeo, and Merril Lynch Global Private Equity. Rexel delisted from Paris stock exchange on April 25, 2005.
In 2006, in addition to the 29 small and medium acquisitions made during this period, the group bought General Electric's American distribution subsidiary, GE Supply, which it renamed Gexpro, becoming the sector's largest company in North America and Asia Pacific. Gexpro reinforced the group's service business among industrial key accounts. In 2007, Rexel launched a joint takeover bid with the Sonepar Group for the Hagemeyer Group, which was the global number three at the time. In March 2008, it acquired a majority stake in Hagemeyer's European assets (Elektroskandia in the Nordics, ABM in Spain and Newey & Eyre in the United Kingdom). Following this acquisition, the group doubled its revenues in Europe, increased its sales outlets in the region by 50 percent, and established a presence in five new countries (Finland, Norway, and the Baltic Countries).
In 2007, Rexel changed its structure and became a limited liability company with a management board and a supervisory board ("société anonyme à directoire et conseil de surveillance"). The company was floated on Euronext Paris on April 4, 2007. In 2008, the group's share of the global market for distributed professional electrical supplies stood at approximately 9 percent; it had 2,500 sales outlets across 34 countries
In 2011, the company undertook new acquisitions in emerging markets. It acquired Lucky Well Zhineng in China, Nortel Suprimentos Industriais in Brazil and Yantra Automation in India.
2012: new company plan "Energy in Motion"
In early 2012, the group acquired the companies Delamano and Etil, becoming a leader in the Brazilian market. It also expanded its presence in the U.S. with the strategic acquisition of Platt Electric Supply.
Year 2012 also marks the appointment of Rudy Provoost as Chairman of the Management Board and CEO, succeeding Jean-Charles Pauze. In May, the company unveiled its 2015 ambitions and presented its "Energy in Motion" company plan.
2014: new governance
In May 2014, Rexel moved to a new one-tier governance structure with Board of Directors. In 2015, the Group is strengthening its multi-energy business in France with the acquisition of Sofinther, a distribution company specializing in thermal, heating and control solutions.
On April 30, 2015, Rexel announced the sale of its operations in Latin America.
In January 2016, Rexel announced the sale of its operations in Poland, Slovakia and the Baltic countries to Würth. In February 2016, as part of its dynamic acquisition policy, Rexel acquires Brohl & Appell, a US specialist in industrial automation and MRO (Maintenance, Repair and Overhaul) services. In July 2016, Rexel changed its governance structure and split the role of Chairman of the Board of Directors and Chief Executive Officer. Patrick Berard is appointed Chief Executive Officer and Ian Meakins Chairman of the Board of Directors.
Since 2017: focus on profitable growth and value creation
On February 13, 2017, Rexel presented its updated strategy based on three priorities: accelerating organic growth, being more selective in the allocation of its capital and strengthening its financial structure, improving its operational and financial performance.
Maps Rexel
Activities
Rexel provides the entire range of equipment necessary for installing and using electricity, mainly in residential, commercial and industrial buildings. The Group also supports projects for major industrial infrastructures (mines, oil rigs, etc.)
Over the last few years, Rexel has developed low-energy solutions (lighting and high-performance motors), as well as products using renewable energies, solar and wind power, geothermal and aerothermal energy (heat pumps, solar water heaters and climate control solutions).
Lines of business
Design and distribution of electrical solutions
Rexel designs, advises and markets electrical solutions based on major manufacturers' offerings (50 percent of its revenues come from 25 main manufacturers). The company carries out its distribution business through generalist and specialist outlets as well as e-commerce systems. Rexel relies on 108 logistical centers worldwide for its sales outlets and clients.
Clients
In 2016, the commercial, industrial and residential markets represented respectively 46%, 32% and 22% of Rexel's sales breakdown.
Strategy
The Group's strategy is based on three strategic priorities:
- Accelerate organic growth,
- Increase selectivity in capital allocation and strengthen financial structure,
- Improve operational and financial performance.
Brands
The Rexel Group has a sales network of around 40 brands, the largest of which are Rexel, Platt Electric Supply, Gexpro, Westburne, Nedco, Hagemeyer and Elektroskandia.
Rexel, the Group's main brand, is present in the various countries: Australia, Belgium, China, France, Italy, Luxembourg, the Netherlands, New Zealand, Portugal, Canada and the United States among others.
The Hagemeyer brand is present in Germany.
Originally Norwegian, the Elektroskandia brand is present in Northern and Eastern Europe ( Norway and Russia).
In Sweden Rexel is known through their brands Storel, Selga, Moel and Rexel Energy Solutions.
Corporate governance
Since 2014, the Rexel Group has adopted the form of a public limited company with a board of directors. Its Board of Directors relies on 3 specialized committees, the composition and powers of which are determined by the Board of Directors: the Audit and Risk Committee and the Nomination Committee and Compensation Committee. It is composed of 10 independent members, 40% of which are women. In parallel, an Executive committee manages the activities of the group. In 2016, the Rexel Group continues the evolution of its governance structure by splitting the roles of Chairman of the Board of Directors and Chief Executive Officer. Patrick Berard is appointed CEO of the Group and Ian Meakins Chairman of the Board of Directors.
Board of Directors
- Ian Meakins*, Chairman of the Board of Directors
- François Henrot*, Vice-Chairman of the Board of Directors, and Senior independent director and Chairman of the Nomination and Compensation Committee
- Fritz Fröhlich*, Chairman of the Audit and Risk Committee
- Thomas Farrell*
- Elen Phillips*
- Maria Richter*
- Agnès Touraine*, chairman of the Compensation Committee
- Hendrika Verhagen*, chairman of the Nomination Committee
- Marcus Alexanderson*
- Patrick Berard*
Independent members
Previous presidents
- Rudy Provoost (2012-2016)
- Jean-Charles Pauze (2002-2012)
- Alain Redheuil (1996-2002)
- Serge Weinberg (1990-96)
- Bernard Clerc (1973-90)
Key figures
Financial data
Rexel group's revenues at December 31, 2016 were 13,2 billion euros. Geographically, Europe had a 54 percent share, North America 36 percent, Asia Pacific 10 percent. By sector, the service sector represented 46 percent, the residential sector 22 percent and the industrial sector 32 percent. In 2016, the Group had an operating income from continuing operations of 134,3 million euros, up 58% compared to 2015.
Stock market information
Rexel was listed on the Paris stock exchange for the first time in 1983 (ISIN code: FR0010451203). The Group was then acquired in 1990 by the Pinault Group. On December 13, 2004, the PPR Group signed off on the sale of its subsidiary Rexel to the investment consortium Ray Investment, composed mainly of Clayton Dubilier & Rice, Eurazeo and Merrill Lynch Global Private Equity (as known as BAML Capital Partners since 2009).
The Rexel Group withdrew from the Paris stock exchange in 2005 and re-entered it in 2007.
On February 31, 2016, the company's shareholding was broken down as follows:
- Public: 97.87 percent
- Rexel employees and former employees: 1.24 percent
- Treasury shares: 0.45 percent
- FCPE: 0.44 percent
Rexel is included in several share indexes: SBF 120, CAC Mid 100, CAC All-Trade, CAC AllShares, FTSE EuroMid, STOXX600. Rexel is also part of the following SRI indices: Euronext Vigeo Europe 120 and ESI Excellence Europe. Rexel is also included on the Ethibel EXCELLENCE Investment Register in recognition of its performance in corporate social responsibility (CSR), in the Stoxx (Stoxx Global ESG Impact, Stoxx low carbon indices Global, Europe and EURO) and in Dow Jones Sustainability Index Europe.
Extra-financial information
In 2016, the Rexel Group has 40 brands in a network of 2,000 branches in 32 countries. The company has 27,000 employees, including 22.6% women.
Social and environmental responsibility
Rexel has joined the United Nations Global Compact, through which companies commit to respecting and promoting the ten key principles of the Global Compact regarding Human rights, labor standards, the environment and anti-corruption.
Since February 2012, in a partnership with Ashoka, Rexel sponsors social entrepreneurs whose activity relates to the energy. This initiative was strengthened since 2014 with the launch of the platform for social entrepreneurs, created under the aegis of the Rexel Foundation for a better energy future.
Rexel launched in May 2013 the Rexel Foundation for a better energy future, which was created under the aegis of the Fondation de France. Its mission is to improve access to energy efficiency for all based on three key pillars: to improve understanding and raise awareness of energy efficiency, to encourage innovation through research programs and educational projects and to support charitable community-based projects.
Rexel's strategy in terms of sustainable development rely on 3 pillars:
- Developing energy management solutions for our customers and for society at large
- Promoting responsible practices across the value chain
- Improving the social and environmental performance of our operations
References
External links
- Corporate website
Source of the article : Wikipedia
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