Wealthy German family makes play for Murray & Roberts

London - Germany’s Helmig family has been acquiring shares in South African engineering contractor Murray & Roberts Holdings [JSE:MUR] as it explores combining that business with its own mining industry service provider, J.S. Redpath Holding, according to people familiar with the matter.

The Helmig family, which controls the investment company Aton, is working with a financial adviser on a potential deal between Redpath and Murray & Roberts, said the people, who asked not to be identified because the plans are confidential.

The investment could be announced as early as this week, though no decision has been made, they said.

Murray & Roberts shares jumped on Friday after an unnamed financial services company approached investors offering a premium for their stock, a person familiar with the matter said previously.

The South African company said at the time that it didn’t know who bought the stock. About 96 million shares traded on February 16, according to the statement, equivalent to about 22% of its ordinary share capital. Murray & Roberts has a market value of about $510m.

Representatives for Aton and Redpath couldn’t be reached for comment. A spokesperson for Murray & Roberts said the company hadn’t received notification from the buyer of the shares and will release details as soon as possible.

“That the buyer has bought this on the market without notifying the company is an unusual move," Ed Jardim, a spokesperson, said about the share purchases, declining to comment on potential interest from Aton.

Murray & Roberts, which built landmarks such as Johannesburg’s Carlton Centre, Africa’s tallest building, went through a transformation last year when it sold its building and infrastructure units to focus on international businesses specialising in underground mining, oil and gas, and power and water projects.

Aton owns businesses including Redpath, which provides services and products and machinery for mining and shaft sinking.

The Helmig family traces its wealth to the sale of a European clinic operator, Helios Clinics.