JSE-listed transport and logistics group Labat has acquired a 55% interest in privately owned transport and logistics company Kufika Transport.
“Teaming up with Kufika will further enhance and strengthen Labat's ability to meet the challenges in respect of delivery. The last couple of months have been a challenge to keep up with the amount of work which we have won mainly because of our black economic empowerment (BEE) credentials,” commented Labat Africa CEO Brian van Rooyen.
“This transaction will give us the much-needed BEE credentials to grow the business significantly,” added Kufika director Adriaan Aucamp.
It is envisaged that the deal will secure a core owned fleet of about 100 vehicles to service existing and new business.
The transaction will also provide the platform to consolidate operation in the areas of agriculture, petrochemicals, dry bulk and certain fast-moving consumer goods areas that are currently undertaken by both companies.
Van Rooyen said the group has been looking at a number of potential targeted acquisitions and will continue exploring opportunities in order to bolster its operations.