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Specialty Mining Company Equity Stake For Sale in Sandton, South Africa

Chrome producer seeking to build wash-plant in four months, increasing revenue through secured ROM offtakes.

Established 10-20 year(s)
Employees 50 - 100
Legal Entity Private Limited Company
Reported Sales USD 120 million
Run Rate Sales USD 144 million
EBITDA Margin 0 - 10 %
Industries Specialty Mining
Locations  Sandton
Local Time 5:01 PM Africa / Johannesburg
Listed By Business Owner / Director
Status Active
Overall Rating
Partial Stake Sale
USD 7.8 million for 50.0% stake (Native Currency: ZAR 130,000,000)
Reason: Raise capital to build a new high-grade chrome concentrate wash plant within 4 months, accelerating ... View More
Includes physical assets worth USD 3.9 million
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Company Pitch
Business Overview
- Business is a Chrome mining and processing business based in Sandton, established 11 years ago, with a focus on high-grade chrome concentrate.
- Operating six wash plants, we handle a solid mining capacity of 5,000 MT per day, serving both industrial and export markets.
- The company controls three Run-of-Mine (ROM) mines that are secured for 99 years, ensuring a long-term supply of quality feed material.
- With a dedicated team of over 70 full-time and part-time employees, we take pride in our efficiency and high-quality output, supported by active offtake agreements.
- Last month, we reported sales of around ZAR 300 million.
- Business is looking to raise ZAR 130 million for a 50% equity stake to build another chrome wash plant, boosting the production capabilities to meet growing demand.
- Plans to construct a new wash plant are in motion, aiming for completion within four months once funding is secured.
Products & Services Overview
Production of high-grade chrome concentrate processed from Run-of-Mine (ROM) feed material, meeting industrial and export specifications. The company operates six chrome wash plants and supplies chrome concentrate to industrial customers and export markets under active offtake agreements.
Assets Overview
- Tangible assets: including six operational chrome wash plants, associated processing equipment and infrastructure, and three ROM chrome mines valued at approximately R65 million.
- Intangible assets: include established offtake agreements and long-term ROM supply security with 99-year secured mining rights.
Facilities Overview
Network of six operational chrome wash plants supplied by three secured ROM chrome mines with 99-year rights. Detailed land size and building area will be specified to interested investors.
Capitalization Overview
Currently funded through internal capital and a loan used to develop the 6th wash plant, expected to be repaid within one year. The business is seeking R130 million for a 50% equity stake to finance a new chrome processing facility; existing detailed shareholding structure will be revealed in later after our due diligence is completed.
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Disclaimer: SMERGERS is a regulated marketplace for connecting business sell sides with investors, buyers, lenders and advisors. Neither SMERGERS represents nor guarantees that the information mentioned above is complete or correct.
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