Community-based investment company Royal Bafokeng Holdings (RBH) has, subject to Competition Commission approval, secured a controlling interest in engineering company M-Tech Industrial, increasing RBH’s stake in M-Tech from 25.1% to 50.1%.
It allows M-Tech to be a Level 2 broad-based black economic-empowerment company and the company looks forward to capitalising on future growth opportunities in its heat-pump business in the industrial, commercial and resi- dential building sector.
The company aims to develop innovative ways to improve energy efficiency in mining and industrial operations by employing an integrated systems approach rather than improving only individual processes.
Growth opportunities also exist in research and development and in the commercialisation of locally developed heating and cooling equipment, as well as in the maintenance and support of these products through their life cycle.
Further, the company aims to increase the international sales and support of its specialised Flownex thermal-fluid systems simulation software.
“This is an exciting development for both parties. Our company has had a successful partnership with RBH since it came on board as a shareholder in 2007 and we welcome its increased investment,” says M-Tech CEO Willie Landman.
The company specialises in the design, analysis, optimisation and system integration of thermal-fluid systems such as coal, gas and nuclear power plants, turbo machinery, heat exchangers and desalination plants, as well as compressed-air, water and gas networks.
The company also designs and manufactures refrigeration, mine cooling, heating, ventilation and air-conditioning systems, as well as heat pumps and specialised test facilities.
M-Tech was formed nearly 20 years ago by three academics – retired Professor Gideon Greyvenstein, current M-Tech chief technology officer and part-time lecturer at North-West University (NWU) Professor Pieter Rousseau and NWU Professor Jat du Toit.
The company has offices and a manufactur- ing facility in Potchefstroom, in the North West, and offices in Sunninghill, Gauteng.
RBH CEO Albertinah Kekana points out that the deal is the culmination of a successful partnership over several years and a further indication of RBH’s commitment to the group’s diversification strategy, which seeks to lessen RBH’s reliance on mining as a source of wealth creation for the Bafokeng nation.