Established in 1955, Duro Pressings, with an annual turnover of almost R1 billion, is the leading manufacturer of windows, doors, door frames and garage doors serving the affordable housing market in Southern Africa.
Its product offering includes a broad range of quality steel and aluminium products sold under well recognised brands such as Wispeco garage doors as well as structural steel and innovative modular building solutions which are produced by its Vela SBS subsidiary.
The business serves its building merchant and construction industry customers through a network of branches strategically located across South Africa and the neighbouring states.
Commenting on the transaction, Capitalworks founding partner, Chad Smart says: "Our philosophy is centered around building exceptional businesses through partnering with leading entrepreneurs and management teams.
"The transaction with Duro is no different. We have invested in an exceptional business with a formidable and dynamic management team and we look forward to growing the business together with our new partners.
"Capitalworks is planning to invest up to R500 million in similar transactions within the coming year."
Capitalworks partner, Darshan Daya, who led the transaction, further elaborates: "We are very excited about having made an investment that is exposed to the fundamentals of the affordable housing market.
"Solving the housing problem is a national imperative and we see a number of significant growth opportunities stemming from Government's continued investment in the sector as well as growing levels of bank finance and investment by private sector entities, such as mining houses.
"In addition, the business has had significant success in selling its Vela modular building products on the continent. This is a great home-grown solution for addressing the acute housing needs in Africa."
With a strong footprint across Sub-Saharan Africa, market leading brands and a diverse product range across a variety of LSM categories and building markets, Duro is set to benefit significantly from the partnership with Capitalworks.
Duro Pressings non-executive director, Eldon Beinart, who has been involved with the business for a number of years, says: "We are looking forward to growing the business with our new partners. Over and above the capital that Capitalworks have provided, we believe they can provide valuable business and strategic support to the business and assist us in taking Duro to the next level".
Commenting on the transaction, Duro Pressings CEO Greg Morris said, "The management team have acquired a significant interest in the business as part of the transaction and are pleased to be aligned with active shareholders.
"We are focused on the operations and hope that our customers and suppliers will see the fruits of the transaction in the near future."
With more than R2 billion under management, this investment joins the Capitalworks portfolio of investments in attractive growth sectors, amongst others, the building materials, recycling and healthcare industries.
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