Acquisition and merger create job opportunities, improve customer service
The acquisition of pumps manufacturer SPP Pumps and pumps spares supplier Braybar Pumps by fluid management solutions company Kirloskar Brothers International (KBI) has created the potential for increased job opportunities in South Africa and improved national service for the mining sector.
Uniting SPP and Braybar under KBI enables the companies to provide services at national level, with products from these two companies being exported to neighbouring African countries.
New KBI South Africa MD Graham Cooper states that the South African branch of SPP now has the support of international players.
“With the support of SPP UK . . . and KBI in India, which are financially flush companies, we have saved South African companies, with more job creation expected going forward as KBI grows,” he says.
Braybar and SPP have been divisions under KBI International since the beginning of 2014; however, they still operate as sales organisations under their original brands.
The South African mining industry remains loyal to brands that it recognises, hence, the importance of KBI maintaining Braybar and SPP as separate brands in the market, Cooper notes.
“The division of Braybar and SPP under KBI can be considered a cost-saving exercise, which is more efficient than operating two separate entities involved in the same business that are using the same type of machinery in separate places,” says Cooper, noting that KBI has a manufacturing facility in Chloorkop, Kempton Park.
He further explains that one of the objectives of Braybar and SPP both becoming divisions under KBI but remaining separate brands was to improve customer service, noting that having more brands under one umbrella enables the company to service the mining industry much faster through quicker stocking of spare parts, service and maintenance.
“We are buying castings from our local foundries, servicing the old traditional and existing customer base of Braybar and SPP and, through our connections with KBI, we can bring in any type of pump that we need,” says Cooper.
Although KBI is an Indian company, service to the South African mining industry is still a priority, he adds.
“The mining industry is a stable segment of our customer market share,” says Cooper, adding that the only way to increase that share is to become more agile and present in the market to be competitive.
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