Rexel Shares Plunge Most in Seven Years on Downbeat Guidance
- French company sees revenue growth between -3 and 1 percent
- Plans to spend EU1.5b on bolt-on acquisitions over four years
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Rexel SA shares dropped the most in almost seven years after the French electrical-equipment company said volatile economic conditions in North America and China and persistent low commodity prices could cause sales to fall this year.
"Taking into account low copper and oil prices, the slowdown of the Chinese economy and the uncertainty around the North American industrial market, the start of 2016 leads us to be cautious in our guidance for the year, even if Europe could experience a slight gradual recovery," Chief Executive Officer Rudy Provoost said in a statement on Thursday.