Wednesday, August 5, 2020

Big merger in the building material shops

Builders Merchants Botswana (BMB), the local building material shop, has merged with its former two rivals, PG Timber and Timber City, in a move that is most likely to see it listing on the Botswana Stock Exchange (BSE) to support its ambitions of expanding across the southern African region.
The move is expected to help local contractors and retail customers to have an exquisite deal in the form of a one stop shop for all building conveniences.

The three companies, which have their capital funds supported by Citizen Entrepreneurship Development Agency (CEDA), Venture Capital Fund ÔÇô which is driven by Venture Partners BotswanaÔÇö have joined hands to form a powerful merger that would be of incredible convenience to their customers.

The decision to form the merger was, therefore, taken through consultations by CEDA.
The merged company name is now PG Industries Botswana.

“The merger is already done and what we are concentrating on is to grow the business and we are already looking at a couple of things in Zambia,” a close source said Friday.

Under the plan, the company is expected to list on the BSE within 18 months and they are looking at the markets to wake up from a slumber.
PGIB’s Marketing and Communications Manager, Tebogo Mowaneng, revealed exclusively to the Sunday Standard that the merger actually took place in January.

According to Mowaneng the initiatives for public exposure were rather slow due to the fact that preparations and signages were taking time to process.

Mowaneng revealed that individuals stood to benefit from the one-stop service because they would be no more running around searching for the best building materials for housing projects, everything is priced straight away, free quotations are offered on materials as well as purchases and delivery in a bundle.

“The merged company now has more muscle with its competitive pricing, which is good news for our customers as we are now offering increased discounts from increased bulk purchases influencing reductions on pricing,” said Mowaneng.
Mowaneng claims that even though the public was mostly unaware of this recent development, their customers were alert and most were impressed with the convenience granted by the merger.

The new company’s linked invoicing system allows all customers to purchase from any of the branches throughout the country and have their material delivered to any destination in Botswana where they have a representation.

PGIB runs a number of branches locally from Gaborone, Francistown, Palapye, Kanye, Letlhakane, Jwaneng, Selibe-Phikwe and even has one in Maun.

The citizen-owned and citizen-managed entity also operates live for customer needs and enquiries.

The company is now looking at diversifying into the region.

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Sunday Standard August 2 – 8

Digital copy of Sunday Standard issue of August 2 - 8, 2020.