| Mon 28 Jan 2008, 9:37 | | RBX - Raubex Group Limited - Acquisition of Thaba Bosiu Construction and Zamori |
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RBX
RBX
RBX - Raubex Group Limited - Acquisition of Thaba Bosiu Construction and Zamori
Construction By Raubex
RAUBEX GROUP LIMITED
(Previously Lexpub 49 Investments Limited)
(Incorporated in the Republic of South Africa)
(Registration number 2006/023666/06)
Share Code: RBX
SIN: ZAE000093183
("Raubex" or "the Company")
ANNOUNCEMENT TO SHAREHOLDERS OF RAUBEX
ACQUISITION OF THABA BOSIU CONSTRUCTION AND ZAMORI CONSTRUCTION BY RAUBEX
Raubex, the JSE-listed road construction and rehabilitation company, today
announced its intention to acquire road construction businesses Thaba Bosiu
Construction (Proprietary) Limited ("Thaba Bosiu") and Zamori Construction
(Proprietary) Limited ("Zamori Construction") ("the Proposed Acquisitions").
Both acquired companies specialise in road construction and have a well-
established presence across the country. The acquired operations will be
integrated within the Raubex Construction division. This is yet another key
capacity building move for Raubex that will reinforce its road and civil
infrastructure capabilities. While Raubex Construction has operated in all nine
provinces in South Africa and throughout the SADC region, it is looking to
increase its presence nationally.
The Proposed Acquisitions, subject to conditions precedent which are anticipated
to be fulfilled by the end of April 2008, are valued at R100 million. Thaba
Bosiu`s profit after taxation for the six month period ending 31 August 2007
equated to R6,35 million whilst Zamori Construction`s profit after taxation for
the year ending 30 June 2007 was R10,87 million. The Proposed Acquisitions are
collectively less than five percent of Raubex`s market capitalisation.
Commenting on the Proposed Acquisitions, Francois Diedrechsen, Raubex`s
commercial and financial director, said: "One of the most value-enhancing parts
of this deal is that top management will remain on board and this will allow
Raubex to utilise their expertise to the full extent, while also ensuring that
the business continues to perform optimally in this buoyant environment."
"We have been looking to further re-enforce our heavy construction presence in
South Africa and this deal will do just that. Both companies have a great
reputation in this area and will add to the overall positioning of the Raubex
Group," Diedrechsen concluded.
Willie van der Merwe, director of Thaba Bosiu and Zamori Construction, said: "We
see this as a mutually beneficial deal and look forward to working under the
Raubex brand. We are confident that our combined resources and expertise will
ensure greater access to projects going forward."
ENQUIRIES
Raubex 012 665 3226
Francois Diedrechsen
College Hill 011 447 3030
Frederic Cornet 083 307 8286
Jacques de Bie 082 691 5384
ABOUT US
Raubex
Raubex is a black-empowered construction company that operates across all nine
South African provinces and throughout southern Africa. The Company listed on
the JSE Limited in March 2007.
Koos Raubenheimer founded the business in Bloemfontein in 1974 and progressively
developed the company into a leader in road construction and rehabilitation and
associated infrastructure development, including bridges, culvert drainage,
sewerage and pavements. The company is also a major supplier of aggregates to
the construction industry. Today the Company employs over 3,000 people across
southern Africa.
Raubex`s main line of business is road building and road rehabilitation. Whilst
the vast majority of contracts emanate from government related bodies including
local municipalities and the South African National Roads Agency Limited
(SANRAL), Raubex also services the private sector.
Over the years, the Company spawned a number of subsidiaries but, due to
changing requirements and shifts within the market, a restructuring programme
recently took place seeing the Company consolidate into three main divisions -
road and civil infrastructure construction, road rehabilitation and aggregates.
Raubex Construction
Raubex Construction is a road and civil infrastructure construction company. It
has notable project management expertise and a reputation for delivering
effective and specialised solutions under local construction industry
conditions.
The key areas of competence include new road construction (green fields), heavy
road rehabilitation and concrete structures. The division has operated in all
nine provinces of South Africa but also in Botswana, Lesotho, Namibia and
Zambia.
The project management teams are well-resourced and skilled by a strong team of
engineers, technologists, artisans, skilled labour and personnel managers. The
Company has sophisticated and specialised equipment as well as an extensive
network of long-term relationships with services suppliers.
Raubex Construction currently has approximately a dozen projects under
management with a total contract value of over R900m.
Centurion
28 January 2008
Investment bank and Legal adviser to Raubex Independent reporting
sponsor to Raubex accountants to Raubex
(Investec Bank Limited (Hofmeyr, Herbstein & (Malan du Preez logo)
logo) Gihwala logo)
Legal adviser to Thaba Accountants to Zamori Financial
Bosiu Contruction and Thaba communications
Bosiu adviser to Raubex
(Delport van den Berg (Vos, Steyn,Van Zyl (College Hill logo)
Incorporated logo) Incorporated logo)
Date: 28/01/2008 09:37:26 Produced by the JSE SENS Department.
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