Argent Industrial - Argent expands internationally

Argent, a steel-based beneficiation group with offshore investments, is advancing its strategy of expanding beyond South Africa, focusing on the UK and US markets. The group has announced another acquisition, this time purchasing UK-based Standmode for £6.9m (ZAR159.3m), paid in cash including £1.0m (ZAR23.1m) for the property owned by the entity. This transaction not only bolsters Argent’s foreign asset portfolio but also strengthens its more profitable manufacturing division. Compared to Argent’s history of acquisitions, this deal is particularly favourable, with a price-to-net asset value ratio of 2.3x, lower than the 2.7x average for the group’s previous three UK acquisitions. Based on the provided historical after-tax earnings of St...