Teke’s Masimong buying control of contract mining, construction firm
Transaction agreements have been signed for the empowered Masimong company – led by Chamber of Mines of South Africa president Mike Teke – to acquire a 51% interest in the R3-billion-a-year privately owned contract mining, construction and civil engineering Liviero group.
The rationale for the transaction, for an undisclosed sum, is to give Masimong direct exposure to growth sectors of the South African economy through the 31-year-old diverse company chaired by Luca Liviero. At the same time, the deal supports Masimong’s strategic goal of becoming a major black industrial player, Teke, 51, who began work as a R76-a-week labourer at packaging company Van Leer on the East Rand, said in a media release to Creamer Media’s Mining Weekly Online.
KwaThema-born Teke, who was the CEO of Optimum Coal at the time of its listing on the Johannesburg Stock Exchange in 2010 and subsequent delisting following its acquisition by the global mining and marketing company Glencore, is also chairperson of the Richards Bay Coal Terminal.
Masimong and Liviero regard the deal, which remains conditional on the receipt of Competition Commission approval, as one that positions the combined entity to contribute with greater strength and sustainability to infrastructure development projects.
With interests across mining, power, beneficiation, chemicals and financial services, Masimong earlier this year increased its interest in Rolfes Holdings to 32% by injecting R135-million into Rolfes to enable it to acquire food-chemicals business Bragan Chemicals. With its acquisition of a majority stake in Liviero, Masimong is poised to become the country’s largest black-controlled multidisciplinary contractor, for the benefit of all its employees, clients, suppliers and unions, Liviero CEO Neil Cloete commented. Source: Engineering News