The lubricant-related FUCHS Group has acquired a 50% stake in three distributors based in Zimbabwe, Zambia and Mozambique.
FUCHS has been working with these partners for more than 15 years. Following the recent founding of a FUCHS company in Tanzania, these acquisitions further strengthen FUCHS 'presence in sub-Saharan Africa. The joint ventures employ 90 people and generated sales of around EUR 21 million in the 2018 financial year.
'Our customers in these countries, who need lubricants and services in areas such as mining, commercial vehicle fleets, general industry, agriculture, food and beverage, consumer products and other specialty applications, will benefit locally from an even greater focus on lubricants, backed by international resources,' says Alf Untersteller, Executive Vice President FUCHS PETROLUB SE.
The wholly-owned FUCHS company FUCHS SOUTHERN AFRICA has developed these three distribution partners south of the Sahara in the long term. 'The distributors have done an excellent job of building up the FUCHS brand in their countries, and the time to get involved in the company is fitting, and FUCHS also sees great importance in the development of Africa, where we make a significant contribution to sustainable development social development of the continent, 'says Paul Deppe, Managing Director of FUCHS SOUTHERN AFRICA.
'FUCHS has invested heavily in South Africa in recent years through the acquisitions of LUBRITENE, LUBRASA and OPTIFLOW in 2014, as well as investments in a state-of-the-art, fully automated fat production facility opened in Isando, Johannesburg, in 2018. These investments do not just provide one Securing the African market is also part of our current global growth initiative, with which we are investing in existing and new locations to expand our capacity with advanced technologies, and further plant extensions are already being planned, 'says Stefan Fuchs, Chief Executive Officer of FUCHS PETROLUB SE.
FUCHS has signed the takeover and expects the deal to close in early 2020.
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The FUCHS Group develops, produces and sells high quality lubricants and related specialties for almost all industries and applications. The company, which was founded in Mannheim in 1931, employs around 5,500 people in 58 operating companies worldwide. FUCHS is the world's largest supplier of independent lubricant manufacturers. The most important sales markets are Western Europe, Asia and North America.
This press release contains forward-looking statements based on assumptions and estimates made by the management of FUCHS PETROLUB SE. Although management believes that these assumptions and estimates are accurate, future actual developments and future actual results may differ materially from these assumptions and estimates due to a variety of factors. These factors include, for example, changes in macroeconomic conditions, procurement prices, exchange rates and interest rates, and changes within the lubricant industry. FUCHS PETROLUB SE does not assume any warranty or liability for