CASE STUDY

$168M Acquisition & Post-Merger Integration

Public Company  •  $900M to $2BN Turnover  •  18 Months

$2BN
Combined Turnover
$35M+
Synergies Delivered
$50M
Working Capital Reduction
18 Mths
Delivery Timeframe
The Challenge

A $168 million acquisition of a direct competitor created one of the most complex integration mandates in the building supply distribution sector. The combined business had a turnover of $900 million and faced a $32 million synergy target — but the path to realising it was anything but straightforward.

A Competition Authority Undertaking governed how the merger of two direct competitors could be managed, imposing strict constraints on the integration process. Compounding this, a flawed retail ERP and POS system rollout had created operational instability across the combined network. A number of retail sites were loss-making, and the business lacked a coherent national retail footprint strategy for building supply distribution.

The business needed embedded leadership capable of managing regulatory compliance, technology remediation, financial performance, and full-scale integration simultaneously.

Realign's Role

Realign was engaged to lead the post-merger integration and drive the operational, financial, and structural outcomes required. The mandate was hands-on and enterprise-wide — spanning regulatory compliance, technology stabilisation, synergy delivery, and network rationalisation.

  • Competition Authority Undertaking — managed integration within regulatory constraints governing the merger of competitors
  • ERP & POS remediation — led the stabilisation and remediation of the flawed system rollout across the combined business
  • Synergy programme — identified, tracked and delivered synergy realisation across all workstreams
  • Network strategy — defined and executed the national retail footprint for building supply distribution
  • Financial performance — rationalised loss-making sites and drove working capital reduction
The Approach
01 Regulatory Compliance Managed all aspects of the Competition Authority Undertaking — ensuring the integration of two direct competitors remained within the legal framework while progressing integration activities at pace.
02 ERP & POS Stabilisation Diagnosed and remediated the flawed retail ERP and POS rollout, stabilising operations across the combined network and establishing a single, reliable system platform for the business.
03 Synergy Realisation Delivered a structured synergy programme across procurement, operations, headcount and property — exceeding the $32 million target to achieve $35 million+ in verified synergy realisation.
04 Retail Network Rationalisation Assessed the full retail footprint, rationalised loss-making sites, and set a coherent national distribution strategy for building supply — establishing the platform for sustainable growth.
05 Customer-Centric Process Reform Redesigned key processes with the customer at the centre — ensuring that integration activity improved rather than disrupted the customer experience across the combined network.
06 Working Capital Optimisation Targeted and delivered $50 million in working capital reduction through improved inventory management, procurement terms, and debtor controls across the combined business.
The Outcome

Within 18 months, the combined business reached $2 billion in turnover — doubling the pre-acquisition revenue base. Every major workstream delivered against target, with several exceeding expectations.

Combined turnover achieved$2 billion
Synergy target$32M target → $35M+ delivered
Working capital reduction$50 million
ERP/POS platformStabilised → single system
Loss-making retail sitesRationalised
National distribution footprintEstablished
Key Takeaways
  • Large acquisitions require embedded integration leadership — advisory support cannot move fast enough
  • Regulatory constraints (Competition Authority Undertakings) must be managed as an operational discipline, not a legal sideshow
  • ERP instability during an integration compounds every other risk — stabilisation is a prerequisite, not a workstream
  • Synergy targets are achieved through structured programmes with clear accountability, not through assumed cost reduction
  • Customer-centricity during integration protects revenue while the business restructures
  • Working capital is a strategic lever — $50M freed up capacity to fund the integration itself

Planning an acquisition or managing a complex integration?

Realign provides embedded leadership for high-stakes M&A integration. Get in touch at with the team at Realign Partners or contact our Managing Director, Tim Bradfield on +61 400 082 750 or tim@realignpartners.com.au

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