Magotteaux, a global leader in high-performance grinding media, is pleased to announce the successful acquisition of 36% of the shares of Grinding Media South Africa (GMSA), reaching a majority stake (51%) in GMSA, a prominent company manufacturing grinding balls in South Africa. This acquisition marks a significant milestone in Magotteaux’s longstanding association with the South African market, solidifying its position as a leading player in the industry.
Magotteaux has a rich history of collaboration in South Africa, dating back to 1984 when the company established a long-term technical and commercial agreement with Scaw Metals Group, a local industry giant renowned for manufacturing a wide range of products, including castings and grinding balls. Following Scaw’s division into four separate entities in 2012, Magotteaux acquired in 2018 a 15% equity share in GMSA and assumed the general management responsibilities of the two plants.
Over the years, Magotteaux has diligently overseen the marketing and distribution of GMSA’s products through its local sales team in Magotteaux Pty, firmly establishing a strong market presence in Southern Africa. The region, particularly South Africa, has been an essential market for Magotteaux’s high-quality grinding media products, largely owing to the extensive presence of major mining companies.
GMSA has an impressive total capacity of approximately 200 000 tons of grinding media, showcasing its significance in meeting the demands of the market. Last year GMSA generated sales for approximately $175 million. With the acquisition of a majority stake, Magotteaux reinforces its commitment to delivering cutting-edge solutions to the mining industry, leveraging its extensive expertise and innovative technologies.
After the acquisition of the majority stake, Magotteaux remains in partnership with its two equity partners, IDC and Main Street, ensuring a seamless transition and continued support for GMSA’s operations and growth.
The IDC acquired GMSA from Anglo American in 2012 with the intention to introduce strategic equity partners.
“We are thrilled to take this momentous step in our longstanding partnership with the South African market. The acquisition of the majority stake in GMSA allows us to further cement our position as a key player in the grinding media industry in the region. We look forward to combining our strengths and resources to continue providing top-notch products and services to our valued customers in the mining sector,” said Gonzalo Cavada, CEO of Magotteaux.
“With this strategic acquisition, Magotteaux is poised to reinforce its commitment to sustainability, innovation, and customer satisfaction, while contributing to the growth and prosperity of the South African mining industry.”
Magotteaux is the leader in process optimisation for high abrasion extracting industries (mines, cement, power, quarries, dredging and recycling). With a production of more than 700 000 tons of castings and grinding media, Magotteaux employs about 3 000 employees, has a global market footprint through its specialised production units and sales offices and Technical Centres worldwide. Magotteaux is part of the Group Sigdo Koppers, the Chilean-based conglomerate providing services and products for the mining industry. Learn more at www.magotteaux.com and www.sigdokoppers.cl
Established in 1940, IDC is a national development finance institution set up to promote economic growth and industrial development. The company is owned by the South African government under the supervision of the Economic Development Department.
IDC provides finance for industrial development projects, plays a catalytic role in promoting partnerships across industries within and outside our borders, and promotes regional economic growth. More information on www.idc.co.za