The steel products group will acquire all the issued share capital of Standmode and subsidiary Mersey Container Services for about £6.9m
19 August 2024 - 09:26
by Jacqueline Mackenzie
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Argent Industrial CEO Treve Hendry. Picture: FINANCIAL MAIL
Steel products group Argent Industrial has acquired the UK-based Standmode Group for R159.3m.
The transaction, done through Argent’s subsidiary, Argent Industrial UK, was an opportunity for the group to grow its business by further diversifying its portfolio of companies and expand internationally into the UK, it said in a statement on Monday.
It will acquire the entire issued share capital of Standmode and its 100%-held subsidiary Mersey Container Services for about £6.9m (R159.3m).
Standmode’s subsidiary manufactures modular buildings, offices, mess units, toilet and shower blocks. These can be stacked or linked units depending on customers’ requirements.
The cash payment consists of £1m for the value of the property owned by the holding company and £5.89m for the value of the attributable profits after tax at a price-to-earnings ratio of 4.9.
The completion date of the transaction is August 16.
Business Day reported in June 2023 that Argent said it would increase its offshore exposure, which would be achieved by acquisitions, expanding current operations and exports. It lamented the “mess” of local markets driven by the then-ruling ANC and said it was ramping up its strategy to focus on offshore growth.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Argent makes R159m UK acquisition
The steel products group will acquire all the issued share capital of Standmode and subsidiary Mersey Container Services for about £6.9m
Steel products group Argent Industrial has acquired the UK-based Standmode Group for R159.3m.
The transaction, done through Argent’s subsidiary, Argent Industrial UK, was an opportunity for the group to grow its business by further diversifying its portfolio of companies and expand internationally into the UK, it said in a statement on Monday.
It will acquire the entire issued share capital of Standmode and its 100%-held subsidiary Mersey Container Services for about £6.9m (R159.3m).
Standmode’s subsidiary manufactures modular buildings, offices, mess units, toilet and shower blocks. These can be stacked or linked units depending on customers’ requirements.
The cash payment consists of £1m for the value of the property owned by the holding company and £5.89m for the value of the attributable profits after tax at a price-to-earnings ratio of 4.9.
The completion date of the transaction is August 16.
Business Day reported in June 2023 that Argent said it would increase its offshore exposure, which would be achieved by acquisitions, expanding current operations and exports. It lamented the “mess” of local markets driven by the then-ruling ANC and said it was ramping up its strategy to focus on offshore growth.
mackenziej@arena.africa
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