The new company will be known as RS Building products.

The business expects to benefit from continued strong demand from the healthcare, education and leisure sectors. Drivers of growth include the UK Government’s stated hospital construction targets, the Building Schools for the Future programme and the 2012 Olympics.

Martin Rees and Jon Sherry will run RS Building Products as executive chairman and group managing director respectively.

Director of Barclays Ventures Khilan Dodhia says: ‘We are excited by the opportunity to back a proven management team with the experience and vision to build a substantial business in this fast-growing market.’

RS Building Products was advised by BDO Stoy Hayward.