GRAINGER ANNOUNCES AGREEMENT TO DIVEST CROMWELL

Rhea-AI Summary

Grainger (NYSE: GWW) announced a definitive agreement to sell its U.K.-based Cromwell business to private equity firm AURELIUS as part of a plan to focus the portfolio on North America and Japan. The company previously announced the proposed closure of its Zoro U.K. business, subject to U.K. legal, regulatory and employment consultations. Grainger expects the Cromwell transaction to close in the coming months and says it will record a one-time, non-cash after-tax loss of $190 million to $205 million, mostly in Q3 2025. The deal remains subject to standard regulatory approvals.

Grainger reported 2024 revenue of $17.2 billion and serves more than 4.5 million customers globally; the actions reflect a strategic shift toward core markets and its High-Touch Solutions and Endless Assortment businesses.

Positive

• Definitive agreement reached to sell Cromwell to AURELIUS
• Strategic focus on North America and Japan markets

Negative

• One-time non-cash after-tax loss of $190M–$205M
• Majority of loss expected to be recorded in Q3 2025
• Proposed closure of Zoro U.K. subject to legal and employment consultations

Company plans to focus its portfolio on North America and Japan

CHICAGO, Oct. 17, 2025 /PRNewswire/ -- Grainger (NYSE: GWW), a leading broad line supplier of maintenance, repair and operating (MRO) products serving businesses and institutions, today announced it has entered into a definitive agreement to sell its U.K.-based Cromwell business to AURELIUS, a global private equity investor, distinguished and widely recognized for its operational approach. In September, Grainger also announced the proposed closure of its Zoro U.K. business, subject to the outcome of required legal, regulatory and employment consultation processes in the United Kingdom.

"Over the past decade we've made a concerted effort to focus our portfolio on the geographies where we can deliver the greatest long-term impact. With this, we've altered our assumptions about our future potential in this region," said D.G. Macpherson, Chairman and CEO, Grainger. "We remain committed to creating value for our customers and driving profitable growth through our High-Touch Solutions model in North America and our Endless Assortment businesses in the United States and Japan." 

To account for this event, Grainger will record a one-time, non-cash after-tax loss related to the planned exit of the U.K. market in the range of $190 million to $205 million, the vast majority of which will be recorded in the third quarter of 2025. The transaction is subject to the standard regulatory approvals. This deal is expected to close in the coming months.

About Grainger

W.W. Grainger, Inc., is a leading broad line distributor with operations primarily in North America, Japan and the United Kingdom. At Grainger, We Keep the World Working® by serving more than 4.5 million customers worldwide with maintenance, repair and operating (MRO) products and value-added solutions delivered through innovative technology and deep customer expertise. Known for its commitment to service and purpose-driven culture, the Company reported 2024 revenue of $17.2 billion. For more information, visit www.grainger.com.

View original content:https://www.prnewswire.com/news-releases/grainger-announces-agreement-to-divest-cromwell-302586884.html

SOURCE W.W. Grainger, Inc.

FAQ

What did Grainger (GWW) announce on October 17, 2025 about Cromwell?

Grainger announced a definitive agreement to sell its U.K.-based Cromwell business to AURELIUS.

How much is the one-time after-tax loss Grainger (GWW) will record from exiting the U.K.?

Grainger said it will record a one-time, non-cash after-tax loss of $190 million to $205 million.

When will Grainger (GWW) record the bulk of the U.K. exit loss?

The company expects the vast majority of the loss to be recorded in Q3 2025.

Is the Cromwell sale to AURELIUS final and when will it close for Grainger (GWW)?

Grainger entered a definitive agreement; the transaction is subject to standard regulatory approvals and is expected to close in the coming months.

What other U.K. action did Grainger (GWW) announce in September 2025?

Grainger announced the proposed closure of its Zoro U.K. business, subject to required U.K. consultations.

How does the Cromwell divestiture affect Grainger's strategy and where will it focus?

Grainger said the move aligns with a portfolio focus on North America and Japan and its High-Touch Solutions and Endless Assortment businesses.