Universal Coal another step in Afrimat’s successful evolution
Diversification into mining has paid off handsomely and helped the company defy the demolition of the construction sector
Listed open-pit mining group Afrimat’s evolution and appetite for acquisitions over the years is the reason the company stands out from its construction-linked peers. Afrimat has changed a lot since it listed on the JSE on November 7 2006, where it debuted at R8.05 a share, resulting in a R1bn market capitalisation. The company’s market capitalisation is now R4.6bn, which goes against the depressing trend of declining market value among most construction-related companies. “Five years ago, Afrimat was a much smaller company and we only focused on aggregates,” says CEO Andries van Heerden. Aggregate is a category of coarse particulate material used in construction, including sand, gravel and crushed stone. Over the years, the group has made numerous acquisitions. One of the biggest changes in Afrimat’s structure has to be the establishment of a bulk commodities business after it bought Demaneng iron ore mine in the Northern Cape in 2017. The bulk commodities division supplies iron ...
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