Metair confirmed reports that it was eyeing TAB, in a 300million (R4.43billion) transaction that Metair chief executive Theo Loock yesterday said was “by design”.
Addressing shareholders, Loock said the mooted acquisition was a responsible step. “It is not something that was taken lightly. It was not a random act.” Metair chief financial officer Sjoerd Douwenga said the company was still undergoing necessary due diligence for the acquisition target. Metair would ensure “a value-enhancing” deal for its shareholders, he said.
Metair on Friday said that it had submitted an “indicative non-binding” offer to acquire TAB to the controlling shareholders of TAB. TAB comprises after-market automotive battery manufacturing facilities in Slovenia and Macedonia, an automotive after-market battery distribution network throughout Europe, as well as a global industrial battery business, and an energy storage business, an area with enormous growth opportunities, according to Loock.
Following its initial foray into international markets, such as Turkey and Romania, Metair’s stated priority is to grow into five continents in the next five years and produce 50million batteries. The company has production facilities in South Africa, Turkey, Romania and Kenya, as well as a presence in the UK and Germany.