A high capacity, bulk building material manufacturer and supplier, specializing in cement block products, bricks, sand and hardware

Gauteng, South Africa
Construction
Client Code: BN000041893
Turnover (Estimated): R80,000,000
EBITDA (Estimated): R8,700,000

Our client is a high capacity, bulk building material manufacturer and supplier. The business has three manufacturing plants that produce brick, sand and cement products, as well as two retail stores that sell general building supplies, equipment and accessories. Supported by a driven and highly-skilled management team and staff, the business plans to diversify its service offering to include steel manufacturing, meeting customer demand and increasing market share.

Key Aspects
  • Fully-equipped manufacturing plants 
  • Unique aggregate mixing ratio that ensures better quality and longer lasting materials
  • Highly-trained staff who maintain and closely monitor equipment and machinery  
  • Decades long relationships with a diverse customer base
  • Ideally located retail stores with early opening hours and same-day delivery services to surrounding areas 
  • Strategic use of processed building waste to save costs and improve sustainability within the business
  • Experienced leadership team ready for the next phase of growth
Opportunities
  • Expanding the geographical footprint: The business could attract additional clients and increase revenue by opening additional branches in other business hubs across South Africa.
  • Diversifying the product range: By adding steel manufacturing to the business’s capabilities, the business will be able to meet additional customer needs and tap into a growing niche of bulk building supplies.
  • Township development: The business is contracted as sole supplier for a new development zone. This will include 5000 housing opportunities, malls, community centers, hospitals and business areas and an additional 2500 high density units that have also been confirmed.
  • Obtaining BEE certification: Becoming BEE compliant would allow the business to tender on government building projects and serve customers seeking BEE-certified building material suppliers. 
  • Leveraging a holistic business model: The business could provide clients with a holistic building and development solution that encompasses manufacturing building materials, constructing new developments using these materials and aiding in the sale of these developments.
Current Markets
  • The company serves the Gauteng area with high-quality building supplies. The company's diverse customer base includes contractors, property developers, DIY home renovators, as well as other building distributors and retailers.