Citation
(1998), "Courtaulds expands its coatings business in South Africa", Pigment & Resin Technology, Vol. 27 No. 4. https://doi.org/10.1108/prt.1998.12927dab.011
Publisher
:Emerald Group Publishing Limited
Copyright © 1998, MCB UP Limited
Courtaulds expands its coatings business in South Africa
Courtaulds expands its coatings business in South Africa
Courtaulds, the international chemical group, announce that Courtaulds Coatings has acquired the protective coatings (PC) business of Plascon (Pty) Ltd in South Africa, giving Courtaulds a significant leadership position in the South African PC market. The acquisition comprises the goodwill of the PC business, which had sales in 1997 of approximately Rand 50m (£6.0m).
The acquisition is being made by Courtaulds' existing coatings business in South Africa, Courtaulds Coatings South Africa (Pty) Ltd, which is a 51/49 per cent joint venture business between Courtaulds and Plascon, one of South Africa's leading coatings companies. Supplementing local manufacture with imports, the company sells marine and powder coatings, yacht paints, and aerospace sealants and coatings. With the acquisition of Plascon's PC business, the company will have a presence in five of Courtaulds Coatings' seven core businesses.
The acquisition will enable Courtaulds Coatings South Africa to develop its PC business nationally, concentrating initially on the mining and metals industries. Additionally, significant growth is expected in the potentially attractive sub-Sahara region, where the market is estimated to be 20 million litres pa, driven by externally financed infrastructure and resource projects and by industrial privatisation programmes. The sub-Sahara countries look to South Africa for technical support and coatings experience.