JSE-listed Reunert has bought the 50% stake in African Cables it did not already own, paying the seller, Pirelli Cables & Systems, R167 million.
Reunert says the deal is still subject to regulatory approvals, although it expects these to be granted before its September financial year-end.
African Cables, part of Reunert`s electrical engineering division, manufactures energy cables. The main factory is in Vereeniging, with additional capacity in Harare, Zimbabwe.
The other companies in the division are telecommunications cable manufacturer ATC and Circuit Breaker Industries.
"This is another significant step in expanding Reunert`s interests in the electrical engineering sector," says Reunert CEO Gerrit Pretorius. "We foresee meaningful benefits deriving from this move.
"A common shareholder base makes close co-operation among the companies in the electrical engineering division feasible."
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