PSV brings on board two key partnerships to drive strategy going forward
ENGINEERING NEWS / 19 SEPTEMBER 2018 - 17.03 / MARLENY ARNOLDI
A ltX-listed industrial holding company PSV Holdings has finalised an equity transaction with Regis Holdings and concluded a broad-based black economic empowerment (BBBEE) partnership with Beryl Holdings Partners.
Regis is a Mauritanian-headquartered investment holding company, and Beryl Holdings is a subsidiary of diversified investment company Beryl Group.
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The Regis transaction will entail the issue of about 143-million new PSV shares to Regis at a price of 18c apiece for an aggregate amount of R25.7-million, with the subscription shares equating to 34.99% of the total PSV shares in issue after the specific issue.
Regis operates globally with a particular focus on Africa and has an existing investment portfolio of property, financialservices and mineral resource companies.
It offers logistic, equipment, procurement and specialised services through its subsidiaries to a range of customers, including national and international oil, oilfield services, drilling and mining companies, as well as product and equipment manufacturers.
“Regis has a highly experienced team of supply chain professionals equipped with all the skills required to serve their clients across all areas of operations,” stated PSV.
PSV CEO Abie Da Silva believes PSV will be able to penetrate Regis’ well-established African footprint by introducing complementary products and services.
A condition of the Regis transaction was the simultaneous conclusion of a BBBEE investment.
Beryl Group, a young female-led Pan-African business with a diversified investment portfolio, has acquired a 30% stake in PSV Industrial (PSVI), which is PSV’s main operating subsidiary, as well as a 30% stake in the PSV Asset Company.
Da Silva says Beryl Group has a credible footprint in South Africa, which he anticipates will facilitate the expansion of PSVI’s product and service offerings substantially.
Beryl Group will provide PSV with a committed, experienced partner to help drive sustainable, broad-based growth across an industry with significant future potential.
PSVI is focused on the provision of steel, stainless steel, industrial supplies, valves, geosynthetic linings, cryogenic equipment and storage tankers, as well as the provision of technological services to the mining, water, wastewater management, healthcare, infrastructure and manufacturingsectors in South Africa and Africa.
“Given our areas of operation, and the sectors in which we operate, PSV is highly reliant on the transformation of the South African economy through industrialisation and manufacturing.
“We believe the establishment of these partnerships will pave the foundation for long-term, mutually beneficial relationships, new and exciting lucrative businessopportunities. This will put PSV on a solid footing to provide sustainable growth going forward,” notes Da Silva.
He adds that other short-term objectives are focused on import replacement at African Cryogenics, market penetration and diversification at Omnirapid, and a new dynamic business approach implemented at Engineered Linings.
“We intend to exploit all available synergies going forward to ensure that all parties benefit fully from these relationships,” concludes Da Silva.
Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER