Raubex acquires bitumen producer Tosas
Integrated road construction and rehabilitation company Raubex has acquired bitumen producer Tosas Holdings from Sasol Oil for R120-million in cash as part of its long-term strategy to become more vertically integrated and to become a supplier along the entire road construction value chain.
All necessary regulatory approvals, including that of the Competition Commission, had been received, with the acquisition to become effective on April 26.
Tosas, a manufacturer and distributor of value-added bituminous products used primarily for road construction activities, attributed the acquisition to the group's drive to become self-sufficient in all the materials needed for its road construction and rehabilitation activities.
Its current footprint included several bitumen processing and storage facilities in the inland region of South Africa, as well as a significant presence in Namibia and Botswana.
"With the persistent bitumen supply shortages in South Africa, this acquisition also secures Raubex’s long-term bitumen supply and adds storage facilities which are critical to ensure efficiencies around the necessary imports of bitumen. Tosas will service about 50% of Raubex’s own bitumen needs," the company told Engineering News Online.
As Tosas had the capacity to supply 100 000 t/y of bitumen, but only half was required by Raubex, it would continue to supply value-added bituminous products to the external market and provide Raubex with the ability to "modify" bitumen in-house.
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