http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 17.93Change: -0.14
R/$ = 15.78Change: 0.06
Au 1242.35 $/ozChange: 49.30
Pt 957.00 $/ozChange: 24.50
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters About Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Oct 23, 2012

Basil Read sells TWP to WorleyParsons for R900m

Back
Construction|Basil Read|Engineering|LYT Architecture|Mining|PROJECT|Projects|Renewable Energy|Renewable-Energy|TWP|TWP Holdings|TWP Investments|WorleyParsons|Energy|Energy Projects|Services|Marius Heyns
Construction|Engineering|Mining|PROJECT|Projects|Renewable Energy|Renewable-Energy|TWP||Energy|Services|
construction|basil-read-company|engineering|lyt-architecture|mining|project|projects|renewable-energy|renewable-energy-company|twp|twp-holdings|twp-investments|worleyparsons|energy|energy-projects|services|marius-heyns
© Reuse this



South African construction and engineering company Basil Read on Tuesday announced it would sell TWP Holdings to WorleyParsons for R900-million in cash – a move which CEO Marius Heyns said would allow the group to concentrate on its core business and sharpen its focus on special projects.

The deal excludes Basil Read Matomo Projects, TWP Investments and LYT Architecture, formerly known as TPS.P Architects, which would all continue to operate as wholly owned subsidiaries of Basil Read.

Heyns said Basil Read’s three-year ownership of TWP was significantly beneficial but that the offer could not be ignored. “We believe the transaction creates value for our shareholders and fits perfectly into our evolving strategy of increased focus on engineering, procurement and construction [EPC] business.”

Basil Read would pursue its growth into value-added EPC services through its continued ownership of Basil Read Matomo, which would lead the growth strategy of the group’s current focus in the energy and renewable-energy sectors, among others.

“We have submitted bids in a lot of the energy projects and quite a few mining-related projects as well,” Heyns said.

He stated that the three businesses staying behind in the Basil Read group would contribute about 40% of the revenue and the profits that TWP would have contributed.

Heyns also pointed out that Basil Read had a project pipeline of close to R5-billion. With an order book in excess of R1-billion in terms of pipeline projects, Basil Read Matoma was forecast to achieve about R600-million turnover next year.

The agreement with WorleyParsons made provision for TWP executives who were currently seconded to Basil Read Matomo projects to complete projects on arms-length terms.

The agreement also allowed for Basil Read Matomo to provide EPC management services within the scope of its existing activities and consistent with its growth strategy.

The purchase consideration was payable in cash on the implementation date of the proposed transaction, which was subject to the fulfilment of a number of conditions precedent, including approval from the Competition Commission and Basil Read shareholders.

Heyns said the deal was expected to be implemented by the end of February or early March next year.

Edited by: Mariaan Webb
Creamer Media Senior Researcher and Deputy Editor Online
© Reuse this

To subscribe email subscriptions@creamermedia.co.za or click here
To advertise email advertising@creamermedia.co.za or click here
 
Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Construction News
About 2 000 workers at LafargeHolcim's South African unit will on Thursday launch an open-ended strike over pay, a labour union said on Wednesday. "The industrial strike would encompass the entire workforce and it will be a total withdrawal of labour by our members...
Amid declining nuclear costs, more nuclear power stations are being constructed now than in any other time in history, according to Australian energy major Peninsula Energy Limited (PEN) CEO Gus Simpson. Addressing delegates at the 2016 Investing in African Mining...
With confirmation that government and the steel industry are close to finalising a package of measures designed to preserve the future of the embattled primary steel sector, there are concerns that domestic steel consuming industries could be squeezed between...
More
 
 
Latest News
Incoming joint Sasol CEO Bongani Nqwababa
Updated 1 hour 14 minutes ago Incoming joint Sasol CEO Bongani Nqwababa believes “simplistic” correlations of the company’s performance to the oil price will become less relevant in coming years as the revenue and profit contribution of its chemicals business rises in line with its large North...
Updated 1 hour 23 minutes ago Despite ending the year better than expected, South Africa’s manufacturing production prospects for 2016 remained “dim”, stated BNP Paribas securities economist Jeffrey Schultz on Thursday. Manufacturing production ticked up 0.4% year-on-year in December 2015,...
Updated 2 hours 5 minutes ago Cement and concrete manufacturer Lafarge South Africa has confirmed that about 800 of its employees will embark on a protected strike on Thursday evening. Following extensive negotiations, the company and the National Union of Mineworkers (NUM), had not been able to...
More
 
 
Recent Research Reports
Construction 2016: A review of South Africa's construction industry (PDF Report)
Creamer Media’s Construction 2016 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; key participants; local demand; geographic diversification; corporate activity; black economic...
Energy Roundup – February 2016 (PDF Report)
The February 2016 roundup covers activities across South Africa for December 2015 and January 2016 and includes details of a Government Gazette notice that confirms Cabinet’s decision to move ahead with the 9 600 MW nuclear procurement programme; State-owned power...
Energy Roundup - December 2015 (PDF Report)
The December 2015 roundup includes details of State-owned utility Eskom’s application to claw back R22.8-billion; South Africa’s ranking as an investment destination for renewable energy; and a nuclear expert’s thoughts on reactor designs for South Africa’s nuclear...
Water 2015: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2015 Report considers the aforementioned issues, not only in the South African context but also in the African and global context in terms of supply and demand, water stress and insecurity, and access to water and sanitation, besides others.
Input Sector Review: Pumps 2015 (PDF Report)
Creamer Media’s 2015 Input Sector Review on Pumps provides an overview of South Africa’s pumps industry with particular focus on pump manufacture and supply, aftermarket services, marketing strategies, local and export demand, imports, sector support, investment...
Liquid Fuels 2015: A review of South Africa's liquid fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2015 Report examines these issues in the context of South Africa’s business environment; oil and gas exploration; fuel pricing; the development of the country’s biofuels industry; the logistics of transporting liquid fuels; and...
 
 
 
 
 
This Week's Magazine
Power and automation company ABB is in the launch phase of its highest payload, multipurpose industrial robot, the IRB 8700. The robot has a reach of 3.5 m and can handle a payload of up to 800 kg. “When designing the IRB 8700, we emphasised reach and payload, as...
Identity and Access Management (IAM) is a critical facet of a connected security ecosystem, as controlling the confidentiality, integrity and authorisation of data access and use is key to securing new digital business channels. However, companies face several...
RORY YOUNG Managed security services provide companies with a means to actively monitor their environment and ward against threats
Data underpins digital business models, the digital economy, the Internet of Things and the fundamental changes in the ways people interact and protecting data is crucial to securing new ways of doing business, says T-Systems South Africa information and...
The City of Cape Town will issue a tender for the procurement of electric buses for its MyCiTi service, in line with the council’s commitment to lower its carbon footprint, says executive mayor Patricia de Lille. The tender, to be advertised early in February, will...
The iSimangaliso Wetland Park Authority signed a R10-million contract last month with local tailings storage facility specialists Cyclone Engineering Projects to remove about 100 000 m3 of dredge spoil obstructing the natural course of the uMfolozi river, in...
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks
Subscribe Now for $149 Close
Subscribe Now for $149