Hudaco to acquire Plasti-Weld for its engineering consumables segment
JSE-listed Hudaco will acquire the trading assets and liabilities of specialist plastic equipment importer Plasti-Weld Business from December 1 for a maximum of R56-million, which will be funded from cash generation and existing facilities of Hudaco.
Hudaco specialises in the importation and distribution of selected high-quality branded automotive, industrial and electronic consumable products, mainly in the Southern African region. One of its key strategies is to acquire new businesses in similar fields of activity when the opportunity arises.
Plasti-Weld is an importer and stockist of plastic welding equipment, hot-air tools, specialised test and inspection equipment and thermo cutters. It also manufactures plastic welding rod and employs 15 staff, all based in Gauteng.
The purchase consideration will be based on the annual profit after tax of the Plasti-Weld Business for the three preceding financial years and the first year after the effective date.
"The purchase of the Plasti-Weld Business is consistent with Hudaco's acquisition strategy and is an ideal fit for the engineering consumables segment of Hudaco, as a bolt-on to its existing thermoplastic pipes and fittings business Astore Keymak which also sells plastic welding equipment.
"They will work together in exploiting synergies, optimising their route to market and expanding the combined customer base. Hudaco will be able to use its experience and expertise in value-added distribution to enhance the position of the Plasti-Weld Business, resulting in long-term benefits to shareholders," Hudaco said.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
South African leader in Steel -Racking, -Shelving, and -Mezzanine flooring. Universal has innovated an approach which encompasses conceptualising,...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
