Traxys concludes $22m Metmar buyout
JOHANNESBURG (miningweekly.com) – The buyout of JSE-listed diversified commodities trader Metmar by Luxembourg-headquartered physical commodity trader and metals and natural resources merchant Traxys has been finalised.
Traxys Africa, a Traxys subsidiary, paid R1.1 a share, for a total cash purchase price of R294-million, or about $21.9-million.
Metmar would be renamed Traxys Africa Holdings.
Traxys CEO Mark Kristoff said the company was excited to add Metmar to Traxys’s portfolio, as Metmar was a leader in the metals and mining raw materials markets in Southern Africa.
“Its business complements our existing activities and expands our metals trading and investments platform in the region. By buying Metmar, we are implementing our strategy to expand our products and markets to better serve our customers and suppliers,” he stated.
Traxys Africa MD Andre Faure added that Metmar’s talented team, together with its successful trading platform and core strategic investments, provided an “attractive opportunity” to grow the company’s business in South Africa and internationally.
He said that, coupled with Traxys’s access to international markets and expanded funding facilities, the company looked forward to working with the Metmar team to build “a leading trading firm in the region”.
Metmar executive directors David Ellwood and Piet Boshoff, would stay on with Traxys to develop new business opportunities and to support and enhance Metmar’s existing supplier and customer relationships.
“We are impressed by the diverse, global capabilities of Traxys and the growth potential of its business. We have known the Traxys team for several years and look forward to joining the group as it expands its platform in sub-Saharan Africa,” Ellwood commented.
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