Afrox signs R25m equipment contract with Brandcorp
Shareholders of Afrox are advised that the Company has signed an equipment supply contract with leading wholesaler Matus, a Brandcorp Company, worth about R25 million a year. The agreement covers Transarc® 6013 and Vitemax electrodes, as well as certain items of gas equipment, including the popular PortaPak® welding and cutting sets.
Matus is a leading South African wholesaler, distributing a range of industrial and DIY products including compressors and welding and safety equipment through four distribution centres in Johannesburg, Cape Town, Durban and Port Elizabeth. The company sells these goods to more than 7 000 active customers who range from hardware stores, industrial supply companies, hire shops, spares shops, co-operatives, nurseries and buying groups.
“Afrox is delighted to have re-established our relationship with Matus,” said Brett Kimber, Afrox’s Managing Director. “Dealing with a wholesaler as big as Matus achieves a reduction in our costs and builds a brand on the newly launched Transarc 6013 electrode. In this way, Afrox also reaches a far broader customer base than individual sales teams would be able to achieve.”
Johannesburg, 4 June 2014