Specialist supplier of water and process treatment chemical business for sale.

Specialist supplier of water and process treatment chemical business for sale.

 Introduction:

•  This business, supported by technical expertise and an established service infrastructure is now for sale.
•  The company provides critical products and solutions to municipal and industrial clients, ensuring compliance, plant efficiency, and water quality outcomes. With longstanding customer relationships and a reputation for reliability, the business offers a stable platform with opportunities for expansion in high-growth sectors.
• Water quality in South Africa varies greatly by region. While major metropolitan areas and well-resourced municipalities generally supply treated tap water that meets SANS 241 standards, national audits reveal that nearly half of the country’s drinking water systems experience microbiological or chemical failures due to failing infrastructure and poor management.

Key Water Quality Challenges that need to be addressed urgently i.e.

• Microbiological Contamination: Widespread presence of E. coli and faecal coliforms in various municipal taps and local water sources due to broken or overloaded sewage and wastewater treatment plants.
• Failing Infrastructure: Government and independent civil reports (such as Blue Drop audits) highlight that nearly half of drinking water supply systems fail safety criteria, with massive volumes of water lost to leaks
• Chemical and Mineral Issues: High concentrations of nitrates, sulphates, iron, and manganese frequently affect rural and smaller municipal outputs, impacting both taste and safety.
• Environmental Pollution: Acid mine drainage, industrial effluent, and agricultural runoff severely compromise surface water bodies, rivers, and dams feeding local treatment plants.

This business has been in the forefront of finding and implementing solutions and the business will be in demand for many years to come.

 Financials:

•  The business has an average annual NP (EBITDA) of R20 million.
• Full financials and more relevant information are available to interested parties, subject thereto that a short history of buyers including relevant business experience and proof of unencumbered cash must be supplied.
• The shareholders will consider selling all their shares in the company.

Selling Price:

•  R100 million excluding stock.
•  Full asset list can be supplied.

The shareholders are considering a full disposal of the company.