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Johannesburg - Civil engineering and building construction group Stefanutti & Bressan (S&B) is planning a main board listing on the JSE on August 3.
BEE investment company Mowana Investments led by Nkenke Kekana, holds 15% of the group. The group is planning to further enhance its BEE credentials.
Willie Meyburgh, the CEO of S&B, said: "We are positive the listing will provide S&B with an enhanced profile to attract other compatible BEE partners at group level."
According to its pre-listing statement, S&B intends to have a free float of about 30% to encourage liquidity. The group added that post-listing the remaining shares in issue would be split about 53% held by management, 10.5% held by Mowana Investments and 5.8% by the staff trust.
The group is planning to raise R465m through a listing of 46.5m shares at between R10 and R12 each. The group said the final placement price would be published on July 26.
The group rationale for listing on the JSE is to expand its asset base through select acquisitions to entrench the group's footprint in South and southern Africa. The listing will also enable S&B to fund future growth.
Seeks expansion to KZN
S&B operates through its five subsidiaries that include Concrete Structures, which accounts for 39.3% of forecast revenue for 2008, Road & Earthworks, Piling & Geotechnical, Mining and Building division. The group anticipate that these divisions would deliver R2.51bn in revenue and R115m in earnings for the financial year 2008.
To ensure sustainable growth, S&B is seeking to expand its presence and operations in KwaZulu-Natal and establish a sustainable presence in the Western Cape. It is also eyeing opportunities in Africa with existing clients.
Chairman and co-founder Gino Stefanutti, said the group management's interest in the company would be retained after listing, reflecting their long-term commitment to the group.
"The three executive directors - myself, CEO Willie Meyburgh and financial director Dermot Quinn - will hold an interest in S&B worth more than R580m post-listing while executive management will collectively hold an interest of more than R250m."