Builders merchant and DIY retail group Grafton has acquired a Dutch company that specialises in distributing tools, fixings and ironmongery for an undisclosed sum.

Gunters en Meuser (G&M) is based in Amsterdam, trades from 14 branches and reported revenue of €33.4m in 2015.

It is the second acquisition by Grafton Group in the Netherlands. Grafton entered the Dutch market in November last year with the acquisition of Isero.

The combined business will trade from a network of 53 branches and it will become the market leader in the Netherlands tools, fixings and ironmongery market where it will have strong positions in the country's five largest cities.

Chief Executive Gavin Slark said the company wanted to increase its exposure to the growing Dutch economy.

Outside of the Netherlands, Grafton Group also has operations in the UK, Ireland, and Belgium.

Completion of the transaction is subject to approval by the Dutch competition authority and is expected to take place next January.