Waco International on Monday announced its intention to list on the JSE’s main board.
The company is an industrial service business operating in South Africa, sub-Saharan Africa, Australasia (Australia and New Zealand), the United Kingdom and Chile.
Customers include a significant number of “blue chip” multinational and national companies and government agencies across a variety of industries, such as industrial maintenance, infrastructure, mining and resources, oil and gas, power generation, construction and engineering, education, healthcare and events.
Waco has been owned by private equity, Ethos-led consortium which bought the firm for R2.4 billion, in 2000 and delisted the company from the JSE – it was the largest private equity deal in South Africa at the time.
According to Stephen Goodburn, CEO of Waco, the company is delivering “continual growth, we’ve been public for a long time over 15 years and it’s about time to come back to the market. It’s a new flow-through for us and what we want to see is the ability to get capital in the market, we want to divest some of our shareholders have been there for a long time now”.
Goodburn said high on the agenda of listing is getting capital so that Waco International can continue to grow. “In two or three years’ time when we have a big acquisition available to us we’ll get the benefit of being able to go to the market and raise capital.”
According to its website, Waco has seen a revenue compound annual growth rate of 20 per cent from 2011 through 2014. It reported revenue of R3.9bn (USD 312m) last year. The group also invested more than R500m (USD 40m) in its hire fleet during the three-year period.
A released statement said, “Since July 2012, management has successfully implemented a number of key strategic initiatives that have significantly improved the operational and financial performance of the group.”
Goodburn told CNBC Africa, “The company has changed dramatically over the last 15 years and now belongs in the listed space.”