The Glasgow, UK-based Weir Group has agreed to acquire the South African CH Warman Pump Group (CHW) for $231m. CHW will be bought from its current owners, Research and Development and CH Warman Holdings.
The CH Warman Pump Group itself was founded in 1938 by Australian mining engineer and entrepreneur, Dr Charles Warman who was responsible for inventing the Warman Slurry Pump, recognised as one of the most significant technological breakthroughs in slurry pump design.
Today, the company is a specialist pump business that serves the mining and minerals processing industry throughout Africa. It provides wear-resistant pumps, spare parts, and related services, principally for highly-abrasive mining, minerals processing and other industrial applications.
It has a manufacturing facility and head office located near Johannesburg, South Africa, together with seven branches throughout South Africa, and one each in Ghana, Zambia, Namibia, Botswana and Zimbabwe, all offering sales, distribution and after sales services. Additional sales offices are located in Dubai and Morocco.
In total, the CHW business employs some 430 people, and for the year to 30 June 2007, generated sales of $79.6m.
Completion of the deal is conditional on the approval of the South African competition authorities and, subject to such approval, is expected to take place in the first quarter of 2008.