In April 2008 Northampton-based Travis Perkins purchased a 30 per cent stake in the multi-channel building materials retailer from Goddard-Watts and his family trusts, and retained an option to buy the remaining shares.

Under the terms of the remaining equity acquisition an initial £24 million is due on completion following an earlier payment of £18 million for the 30 per cent shareholding and option.

A further payment is dependent upon future performance and expansion of the business over the period to December 2013.

Geoff Cooper, chief executive at Travis Perkins, comments: ‘Toolstation offers great value and better reliability to customers who want to order and get materials in the way that suits them best – online, via their computer or mobile phone, or by a phone call.

Cooper adds that the acquired business is a ‘great addition’ to Travis Perkins’ consumer division and will add to its growth in market share and returns as a ‘significant profit generator’.

In the period since Travis Perkins’ initial investment Toolstation has grown its number of branches from 12 to its current level of 103. The business was originally formed in 2003 by Goddard-Watts, the founder of rival toll supply business Screwfix which he left after a takeover by B&Q owner Kingfisher.

Following completion of the buy the current management team at Toolstation will remain in place.

For the year to date 31 December 2011 Somerset-headquartered Toolstation generated EBITDA of £5 million and has gross assets of £34 million.