New Delhi, May 13 -- Tractafric Equipment International GBL, an industrial equipment and automotive distribution company that is part of a firm backed by Al Mada, the Moroccan royal family's investment fund, plans to buy out the remaining stake in a unit it set up in Congo nearly two decades ago.
The company, which is a part of French firm OPTORG, is preparing to acquire the remaining 50% stake in Bartrac Equipment GBL and is seeking approval from the Common Market for Eastern and Southern Africa (COMESA) Competition Commission. The target group comprises Bartrac and its subsidiary, Congo Equipment SARL.
Mauritius-registered Bartrac is an equipment dealership business focussed on the mining-heavy regions of the Democratic Republic of the Congo (DRC). It was set up in 2007 as a joint venture between Tractafric Equipment and Barloworld Equipment to distribute and service machinery for US-based construction and mining equipment maker Caterpillar in the DRC's mining belt.
The region is rich in cobalt and vast reserves of copper, making it a critical player in the global energy transition.
If approved, the deal will give Tractafric Equipment full control of the venture and could help streamline operations by consolidating logistics, distribution, and financing functions.
The company currently provides industrial, mining, and construction equipment along with after-sales services. Its portfolio includes mining, construction, and forestry equipment, spare parts, industrial and marine engines, power plants, generators, and material handling equipment. Tractafric and OPTORG operate in Egypt, Ethiopia, Kenya, Madagascar, Mauritius, Rwanda, Sudan, Tunisia, and Uganda.
The transaction will also provide an exit to South African industrial conglomerate Barloworld's arm Barloworld Equipment, one of Caterpillar's largest dealers in Southern Africa.
Published by HT Digital Content Services with permission from VC Circle.