Veer Steel Mills and SA Steel Mills will now fall under one roof.

The Competition Commission has approved the proposed transaction whereby Alfeco Holdings intends to acquire Pro Roof, with conditions. The primary acquiring firm Alfeco, is owned and controlled by a family trust and an individual. Relevant to the proposed transaction, Alfeco owns Veer Steel Mills (Pty) Ltd.

Alfeco is active in the manufacture and sale of steel, aluminium, copper, copper alloys and other related products. Alfeco also operates in the energy sector. Veer Steel Mills is a manufacturer and supplier of long steel products. Veer Steel Mills manufactures a variety of light section steel products, designed and formed in accordance with customer needs to satisfy various small construction and fabrication needs. Products range from light bars, ultra-light angles, light channels to window sections. Veer Steel Mills also manufactures ultra-light and light long steel products as well as converting scrap metal into numerous types of steel sections.

Veer Steel Mills, based in Alrode, Gauteng, manufactures a variety of light section steel products, designed and formed in accordance with customer needs to satisfy various small construction and fabrication needs. Products range from light bars, ultra-light angles, light channels to window sections. Veer Steel Mills also manufactures ultra-light and light long steel products as well as converting scrap metal into numerous types of steel sections

The primary target firm is Pro Roof. Pro Roof is wholly owned and controlled by Coin Wise Trading 42 (Pty) Ltd. Pro Roof is an investment holding company which owns SA Steel Mills (Pty) Ltd.

SA Steel Mills is a manufacturer and supplier of long steel products. SA Steel Mills’ products are sold to the structural and construction sectors. The product range comprises heavy sections, angle iron, channels, structural beams and columns, IPE sections, reinforcing rebars, billets, and blooms.

The Commission is of the view that the proposed transaction is unlikely to substantially lessen or prevent competition in any market. To address a greater spread of ownership, the acquiring firm shall establish an Employee Share Ownership Plan (ESOP) for qualifying workers. In addition, the proposed transaction does not raise further public interest concerns.