Metair: Contracts sealed in Turkey and locally

METAIR, the listed automotive component manufacturer and distributor, has secured a number of contracts in South Africa and Turkey from original equipment manufacturers (OEMs) related to its start-stop battery technology. The group yesterday also said that none of its companies had been implicated or listed in connection with the investigation launched by the Competition Commission into price fixing, market division and collusive tendering by 82 manufacturers. The commission last week launched the investigation, prompted by information it received that manufacturers colluded when bidding for tenders to supply 121 automotive components to OEMs. Metair said that although it could not predict the course of the investigation, its understanding was that the products produced by the group did not fall within its scope. In regard to the new contracts, Metair said it had secured a contract in Turkey to supply Renault with enhanced flooded battery start-stop batteries and it had a contract to supply these batteries for the first time to a major South African OEM, as yet unidentified. “Through this brand’s international distribution network, Metair will be able to access a large portion of the central European vehicle aftermarket,” it said. Metair said it had experienced improved stability in the local original equipment market since the end of labour disruptions in July. It said catch-up plans to recover volumes lost had been introduced by OEM customers and were progressing in line with expectations. The group expressed confidence that it should be able to produce and deliver quality, cost-competitive products to the industry in a sustainable manner and remained committed to executing its strategy and achieving key performance criteria. Shares jumped 10.3 percent to close at R33.64 yesterday. – Roy Cokayne