Boat builder deal to boost Africa exports
Cape firm acquires leading Durban marine manufacturer
ACAPE Town boat building firm has acquired a Durbanbased boat firm, which is set to double its business and lead to job creation opportunities. Nautic Africa, a Paramount Group company, announced on Friday it had acquired boat builder, Austral Marine, for an undisclosed amount, with the aim of expanding its competence in composite manufacturing and leveraging its group resources.
James Fisher, chief executive of Nautic Group, said the aim was to enhance existing Austral business and diversify its product and sector offerings.
“We expect the business to double in size in the next 18 months. No jobs will be lost and we believe there will be employment, growth opportunities from the acquisition.”
Fisher said Austral Marine has nurtured the best and oldest South African leisure boat building brands such as Angler boats, Panache and Odyssey.
“We will continue to, not only support the dealer network in South Africa, but also grow the market internationally.”
He said Austral currently produced six boats a week and estimated capacity could be doubled and Nautic’s broad base of contacts could help expose the vessels to new export markets.
In addition, access to Nautic’s resources would provide Austral with greater buying power as well as financial and personal management, providing the impetus for growth and with a continued focus on high quality products to compete favourably against imported boats.
Austral Marine was founded in 1986 by brothers Donald and Tony Jarrat. Donald Jarrat said: “We have concentrated on building a skilled team of people who are
diversified enough in their talents to tackle most challenges.”
Economic Opportunities MEC Alan Winde said; “It’s great to see a local company acquiring a leading boat-building brand. The Western Cape is home to some of South Africa’s biggest boat-building yards and we have a reputation of building the finest luxury vessels. Nautic Africa’s acquisition is excellent news for the Western Cape’s industry.”
Fisher said Nautic hopes to increase revenue by 50 percent by maintaining the current management structure and focusing on growing the market in Africa. “Austral’s strong dealer network and impressive, predominantly in-house, manufacturing process is an integral part of their long time success and the reasons we were interested in pursuing this acquisition.”