Leading distributors of sensing solutions for industrial automation

Our client supplies sensors from world-leading brands of international reputation, with trusted backup and support, and a trusted, reliable supply chain. The company's strong reputation is underpinned by reliable supply of local stock, engineering expertise, and professional service to solve problems efficiently. The company is a stable, well-run, well-connected, and respected business, with many blue-chip customers including globally reputable manufacturers. The acquisition is an excellent opportunity for anyone looking to grow an industrial business in South Africa and gain access to a niche customer sector in sub-Saharan Africa.

Key Aspects

·   Strong market demand for the world-leading brands.

·   Extensive product range for all sensing and control requirements. 

·   Knowledgeable and expert staff, trusted with engineering solutions, annual calibration, and breakdown support of the sensing technology, including QA gauging systems.

·   Significant partnerships, vendor accreditations.

·   Proven, reliable supply chain trusted by blue-chip OEM’s.

·   Longstanding relationships with customers and suppliers alike.

·   Recurring revenue from annual calibrations under SLA with major packaging manufacturers.

·   Customers are system integrators and machine builders, or end-user manufacturing companies.

·   Strategically located for a competitive edge.

·   Not dependent on the shareholder for daily operations.

Opportunities

·  'Buy don’t build' - acquiring the company will enable quick access the industry which has significant barriers to entry. 

·  The products are used across an extensive array of industries; expanding into new sectors will easily grow the customer base.

·  Expanding on early-adopter projects of Cloud-based services for production, condition and process monitoring, including live dashboards, automated reporting and alerting signals. 

·  Expanding the sales team to take advantage of available market opportunities.

·  Adding complementary products and services to the same market.

·  Extending the range of brands supplied.

Headquartered

·  Strategically located within South Africa, and carrying stock levels that enable quick supply to customers reliant on the often mission-critical equipment.

Current Markets

·  Our client's sensing solutions and control equipment is used for industrial automation for all industries.

·  The company has chosen to focus on the packaging sector predominantly. 

·  Customers are located across South Africa, with divisions extending into sub-Saharan Africa.

·  Total number customers over last 5 years: 1000

·  Active customers in the last year: 500

·  Largest customer: 14% of total revenue

·  Repeat customers: 80%

·  Refered customers: 10%; new customers: 10%