Aveng sells Grinaker LTA Mechanical and Electrical business for R72m

7th October 2019 By: Marleny Arnoldi - Deputy Editor Online

Aveng sells Grinaker LTA Mechanical and Electrical business for R72m

Photo by: Creamer Media

Global infrastructure and resources group Aveng will sell its Grinaker LTA Mechanical and Electrical subsidiary to the Laula consortium for R72-million.

This forms part of Aveng’s continued sale of noncore assets.

The 100%-black owned Laula consortium also bought the company’s Grinaker LTA Building and Civil Engineering business.

“We are building the Aveng of the future and while we operate in a very challenging market environment, we have a clear strategy to weather these headwinds and futureproof our business. This transaction marks yet another milestone in terms of the execution of this strategy.

“The proceeds of the disposal of noncore assets will be used to optimise our capital structure and leverage growth opportunities in selected markets,” said Aveng CE Sean Flanagan in a release on Monday.

Since August 2018, Aveng had sold its Duraset Alrode, Water, Rail, Dynamic Fluid Control, Infraset, Rand Roads and Ground Engineering businesses.