Niche manufacturer of steel bright bars with an established client base.

Our client is a manufacturer of specialised steel 'bright' bar by means of extruding hot formed mild steel ‘black’ bars through a cold-drawing process. The bright steel bars are geometrically precise and straight within tolerances. The company has an established customer base which provides repeat business and long term projects.

Key Aspects

• Highest quality, niche product range of steel bright bars, available in a range of sizes and die patterns.
• Unique, specialised extruding process with proprietary machinery that reduces material wastage.
• The established customer base of equipment and component manufacturers provides repeat business as the company's products form integral parts in its customer's equipment.
• The company's customer-centric culture is well-entrenched in their long-serving staff.
• Long-term project orders provide ongoing revenue for reliable forecasting.
• The company practices prudent cash flow management for achieving the best prices through bulk steel purchases.

Opportunities

• The company plans to build a new extrusion machine to cater for the uptick in demand.
• Additional shifts would enable the company to scale production without capital expenditure.
• Improved marketing could attract new customers.
• Relocation of the factory or merging it with another company's operations is possible.
• An acquirer may opt to introduce new synergistic products into the offering.

Headquartered

Gauteng, South Africa