Afrimat acquires Lafarge South Africa
Afrimat has entered into a share purchase agreement with a Holcim Group subsidiary, Caricement, in terms of which the Company will acquire 100% of the issued share capital of Lafarge South Africa Holdings Proprietary Limited (“LSA”).
As part of the Holcim Group, the LSA Group is a leading provider of construction materials in South Africa, offering a wide range of products to the construction industry, including aggregates, concrete, cement and fly-ash that meet the industry’s need for products with reliable quality and high performance.
RATIONALE FOR THE ACQUISITION
The construction materials division of Afrimat and its subsidiaries (“the Afrimat Group”) supplies a wide variety of aggregates and concrete-based products to the market, and the Afrimat Group, in response to customer demand, continues to focus on market and product development within this segment.
In addition, a key focus of the Afrimat Group is its operational efficiency initiatives, which are aimed at expanding volumes, reducing costs and developing the required skill levels across all staffing categories. Consequently, the Acquisition is in line with the Afrimat Group’s strategy to expand the current national footprint and products and to drive efficiencies within the construction materials segment.
