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Rexel enters Brazil through the acquisition of Nortel Suprimentos Industriais


Brazil is one of Rexel’s key priorities, both because of the size of its domestic market (the electrical distribution market is estimated at c. €2bn in 2010) and of its growth rate. Brazil’s strong economic potential and wealth in raw materials, combined with opportunities linked to hosting the organization of the Soccer World Cup in 2014 and of the Olympic Games in 2016, offer sustained growth prospects for the coming years.

In a market that remains fragmented, Nortel Suprimentos Industriais is one of the top three national players, with a leadership position in the region in which it operates. Established in 1966, the company is based in Campinas in the state of São Paulo, the richest and the most populous Brazilian state, accounting for one-third of Brazil’s GDP and 22% of the nation’s population. The company employs around 600 people and operates through 49 branches, mainly located in the South-East region, and 3 distribution centers. In 2010, Nortel Suprimentos Industriais posted sales of c. €110 million.
With a well-diversified customer portofolio including key industrial clients, a solid base of both international and national suppliers and a strong reputation, Nortel Suprimentos Industriais achieves high profitability.
With this acquisition, Rexel gains a significant foothold in the Brazilian market and creates a platform to build a leading position in the country.

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