DGAP-News: Braas Monier Building Group S.A. / Key word(s): Mergers & Acquisitions
Braas Monier acquires concrete tile plant in South Africa
- Active step to consolidate the local concrete roof tile market
- Significant improvement of supply and presence in the northern part of South Africa
- Adding further cross-selling potential for roofing components
Luxembourg, 1 June 2016. Braas Monier yesterday acquired a concrete tile plant in South Africa, operating under the brand name of Technicrete and ultimately owned by Infrastructure Specialist Group Proprietary Ltd.
Through the acquisition of the plant, Coverland South Africa takes an active step to consolidate the local market and gains additional potential for selling roofing components to a wider customer base. It also complements its regional footprint, enabling the company to better service the northern part of South Africa at lower transport costs.
Including substantial synergies to be achieved within the next three years, Management expects to generate from this transaction in 2019 revenues of approximately ZAR 41.6 million and an EBITDA of approximately ZAR 18.2 million.
The total investment for the acquisition of the assets amounts to ZAR 52.1 million, equivalent to approximately EUR 3.0 million (based on an exchange rate of 1 EUR = 17.5673 ZAR, as of 30 May 2016), including the purchase price, the financing of additional working capital needs and additional capital expenditure (discounted) to significantly enhance product offerings and quality as well as production capacity.
The acquisition is financed from free cash flow.
About Braas Monier
|Company:||Braas Monier Building Group S.A.|
|4, rue Lou Hemmer|
|Grand Duchy of Luxembourg|
|Listed:||Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Munich, Stuttgart, Tradegate Exchange|
|End of News||DGAP News Service|