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Braas Monier acquires concrete tile plant in South Africa

DGAP-News: Braas Monier Building Group S.A. / Key word(s): Mergers & Acquisitions

2016-06-01 / 11:17
The issuer is solely responsible for the content of this announcement.


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
Braas Monier Building Group is a leading manufacturer and supplier of pitched roof products in Europe, parts of Asia and South Africa. The Group covers all steps of the manufacturing process, offering a comprehensive range of concrete and clay tiles for pitched roofs and is one of the few suppliers to also manufacture and sell complementary roofing components designed to cover various functional aspects of pitched roof construction. The portfolio also includes ceramic and steel chimneys and energy system solutions. Braas Monier had operations in 36 countries and
118 production facilities and employed around 7,700 people as at 31 December 2015. The Company is headquartered in Luxembourg.

Contact
Achim Schreck
Director Group Communications / Investor Relations
Braas Monier Building Group

Tel: +49 6171 61 28 59
E-mail: achim.schreck@monier.com
Website: www.braas-monier.com

 



2016-06-01 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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