| Wed 27 Aug 2008, 9:00 | | RBX - Raubex Group Limited - Announcement to shareholders of Raubex - Raubex |
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RBX
RBX
RBX - Raubex Group Limited - Announcement to shareholders of Raubex - Raubex
Group awarded three major road contracts for a total value of R1.1 billion
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
RAUBEX GROUP AWARDED THREE MAJOR ROAD CONTRACTS FOR A TOTAL VALUE OF R1.1
BILLION
Raubex Group, the JSE-listed road construction and rehabilitation company, is
pleased to announce the awarding of three major contracts by the South African
National Roads Agency Limited (SANRAL) for a combined value of R1.147bn.
The contracts will be carried out by the Raubex Construction and Roadmac
divisions and span the Gauteng, Western Cape and Mpumalanga provinces. Work on
all three contracts is due to commence during September 2008.
The first and largest contract, with a value of R719 million, was awarded to
Raubex Construction, the road and civil infrastructure construction division,
and involves the upgrading of National Route 21 (R21) between the
Olifantsfontein and Hans Strydom interchanges. This contract forms part of
SANRAL`s Gauteng Freeway Improvement Project which is aimed at improving the
freeway network ahead of and beyond 2010.
The other two contracts were awarded to the Roadmac division and will cover the
rehabilitation of National Route 11 (N11) between Ngogo Station and Kwaggasnek
in Mpumalanga for a total of R230 million and of National Route 1 (N1) from
Koelenhof interchange to the Huguenot Toll Plaza in the Western Cape for R198
million. Roadmac is the road maintenance and rehabilitation division of the
Group and specialises in the manufacturing and laying of asphalt, chip and
spray, surface dressing, enrichments and slurry seals.
Francois Diedrechsen, Raubex`s Commercial and Financial Director, commented:"We
are delighted to have secured these three major contracts. Our acquisitive and
organic growth strategy initiated ahead of the listing has transformed the
business into a sizeable and credible industry player with the capacity and
flexibility to meet the accelerating demand for our line of work countrywide."
Centurion
27 August 2008
ENQUIRIES
Raubex 012 665 3226
Francois Diedrechsen
College Hill 011 447 3030
Fred Cornet 083 307 8286
Hayley Crane 072 758 1677
NOTES TO EDITORS
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 4,000 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.
For the year ended 29 February 2008, the group generated revenue of R2.14
billion and operating profit of R431.3 million.
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.
For year ended 29 February 2008, the division achieved revenue of R520 million
and operating profit of R95 million.
Roadmac
Roadmac is a specialist in the manufacturing and laying of asphalt, chip and
spray, surface dressing, enrichments and slurry seals. The division has offices
in all major South African cities and has worked cross-border in Namibia,
Lesotho, Mozambique and Zambia.
Roadmac owns an African patent for an ultra-thin asphalt surfacing called ULM
and is the leading applicator in this market.
Due to the highly specialised nature of its equipment, the division maintains
its own mechanical division. Roadmac`s fleet of equipment is up to date with the
latest technology available. Fully equipped in-house maintenance and servicing
facilities ensures that all equipment is kept in optimal working conditions.
Roadmac is the largest contributor to Group revenue. For year ended 29 February
2008, the division achieved revenue of R1.25 billion and operating profit of
R233.9 million.
Sponsor
Investec Bank Limited
www.raubex.co.za
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