LEGRAND_REGISTRATION_DOCUMENT_2017

CONSOLIDATED FINANCIAL INFORMATION CONCERNING THE GROUP’S ASSETS, LIABILITIES, FINANCIAL POSITION AND RESULTS Capital expenditure

8.8 – CAPITAL EXPENDITURE

8.8.1 – Capital expenditure and capitalized development costs

Capital expenditure and capitalized development costs totaled €178.2 million in 2017 (€160.9 million in 2016 and €133.4 million in 2015), representing 3.2% of the Group’s consolidated sales

(3.2% in 2016 and 2.8% in 2015). See sections 5.5.1.2 and 5.6 of this Registration Document for further details on these items.

8.8.2 – Investments in equity interests: the Group’s primary acquisitions

R 8.8.2.1 THE GROUP’S PRIMARYACQUISITIONS IN 2017 Legrand continued its acquisition strategy with six external growth transactions conducted with companies operating in complementary business segments benefiting from megatrends. In 2017, Legrand announced six new acquisitions: W the Group acquired OCL, specializing in architectural lighting solutions for commercial and high-end residential buildings in the United States. OCL has annual sales of about $15 million; W the Group acquired AFCO Systems in the US, which supplies Voice-Data-Image (VDI) cabinets for data centers, specializing in customized solutions. AFCO Systems has annual sales of approximately $23 million; W the Group signed a joint-venture agreement to acquire 49% of Borri, an Italian specialist in UPS. Since this agreement gives the Group joint control with Borri’s core shareholders, this entity is accounted for using the equity method; W the Group acquired Finelite, a leading US player in the design of linear lighting systems for commercial buildings. Finelite has annual sales of around $200 million; W the Group acquired Milestone AV Technologies LLC, a leading US player in audio-video (AV) power supply and infrastructure. Milestone reported sales of $464.1 million in 2016 (see note 2 to the unaudited consolidated financial information as at September 30, 2017 and note 3.2 in chapter 8.1.7 of this Registration Document); and W the Group acquired Server Technology Inc., a leading US player in smart power distribution units (PDUs) for data centers. Server Technology Inc. has annual sales of around $100 million.

R 8.8.2.2 THE GROUP’S PRIMARYACQUISITIONS IN 2016 AND 2015 During the 2016 financial year, Legrand announced the following eight acquisitions: W the Group acquired Fluxpower in Germany and Primetech in Italy, both specializing in UPS. These two companies have combined annual sales of close to €9 million; W the Group acquired Pinnacle Architectural Lighting, a leading supplier of architectural lighting solutions for commercial buildings in the United States. Pinnacle Architectural Lighting has annual sales of about $105 million; W the Group acquired Luxul Wireless, America’s leading supplier of audio/video infrastructure products for residential buildings and small and medium-sized commercial buildings. Luxul Wireless has annual sales of more than $20 million; W the Group acquired Jontek, specializing in management solutions for assisted living platforms in the UK. Jontek has annual sales of about £3 million; W the Group took an 80% stake in Trias, an Indonesian specialist in cable management and distribution cabinets. Trias has annual sales of approximately €6 million; W the Group acquired CP Electronics, the market leader in energy- efficient lighting control in the UK. CP Electronics has annual sales in the region of £24 million; W the Group acquired Solarfective, the Canadian specialist in natural lighting management for commercial buildings. Solarfective has annual sales of about €13 million.

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REGISTRATION DOCUMENT 2017 - LEGRAND