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Rare Holdings buys into HDPE manufacturing plant

Rare Holdings CEO Wally van Coller

Rare pipe manufacturing division MD Tony Dean

20th November 2013

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

  

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JSE-listed Rare Holdings has undertaken its first venture into the manufacture of high-density polyethylene (HDPE) pipes by acquiring a manufacturing plant from an undisclosed party for R30.9-million.

The piping and related products distributor and services provider said on Wednesday that the group had signed a deal that would see it buy out a manufacturing plant, fixed assets and property in Meyerton.

“This acquisition will improve Rare’s competitiveness in offering piping solutions to the industry by supplying a turnkey service, ranging from manufacturing through installation and maintenance,” Rare Holdings CEO Wally van Coller said in a statement.

The latest addition would enable Rare Holdings to manufacture HDPE pipes up to 1 000 mm in diameter for the mining, infrastructure, agricultural and industrial markets, significantly strengthening the group’s position as a major manufacturer, distributor and service provider of piping and related products, covering the entire fluid conveyance cycle locally and in sub-Saharan Africa.

The new piping manufacturing venture would trade under the name Rare Plastics and would be headed up by newly appointed pipe manufacturing division MD Tony Dean.

The company’s main activities would remain in Kliprivier, while Rare Plastics would launch a range of products from its Meyerton operations.

Edited by Creamer Media Reporter

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