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Sephaku Holdings Limited. JSE: SEP

Sephaku Holdings shares

Background of SEPHAKU

  • Sephaku Holdings is a holding company which invests in construction materials businesses in South Africa. The company’s history stems back to 1934. Today, the group’s portfolio comprises 36% equity ownership of Sephaku Cement and 100% of mixed concrete business Métier.
  • Sephaku Cement’s assets currently include the Aganang Integrated Plant, the Delmas Milling Ploant and Sephaku Ash, which acquires and removes waste ash from Kendal Power Station. The company has combined cement manufacturing capacity of 2.5 million tonnes per year.
  • Sephaku made a decision to purchase Métier in 2013. Métier is a supplier of ready-mixed concrete and related products, renowned for the manufacture of technical high value, customised concrete products. Métier has 11 plants: seven in KwaZulu-Natal and four in Gauteng.
  • Sephaku Holdings shares are for sale on the Main Board of the Johannesburg Stock Exchange (JSE), where the group has a market cap of R568 million.

SEPHAKU Shares Growth Driver

  • Sephaku aims to generate performance and create value for shareholders through active participation in operations. The group has established itself as a strong competitor by successfully securing all major retailers, several bulk cement users and various second-tier distributors. The group has built up a valuable portfolio of assets, and is investing significant capital in new capacity for cement production and related products.
  • SepCem’s strategy is to stabilize and optimize production capacity through new plants using advanced technology to produce products at low cost, backed up by first-class service and technical support. The plants are designed using German-engineered mills and other high-quality equipment purchased from European suppliers. Several plans have been developed to increase loading efficiency and thereby improve customer service.
  • Meanwhile, Métier has achieved strong growth by positioning itself in residential, industrial and commercial markets with high growth potential. The company is extending its geographical footprint into Gauteng, while exploring expansion opportunities in all markets.
  • The group’s latest financial data has not been particularly impressive, with revenue falling by 3% for the six months ended September 2016. Net profit did however increase from R18.5 million to R25.25 million. Operationally, the subsidiaries have been struggling with intense competition and downward pricing pressure in the cement trade. The issues faced by the company have resulted in Sephaku Holdings share price falling by 57% in the past three years. Share price has however increased slightly over the past year, with shareholders receiving increased dividends and a 36% increase in headline earnings per share.

SEPHAKU Investor Tip

  • The live online stocks chart illustrates the company’s difficulties over the past several years, with Sephaku Holdings share price dropping to R2.80. Investors have however produced a positive forecast forecast for the company, advising investors to buy Sephaku Holdings shares at their current low price point, in anticipation of improved trading conditions in the cement sector.
  • The group is currently focusing on the development of an aggregate business, exploring a greenfield quarry asset which will supply to the ready-mixed concrete, asphalt and building industries.

SEPHAKU Major Shareholders

Truffle Asset Management (Pty) Ltd., Safika Resources, Laurium Capital, Allan Gray, Peregrine Equities (Pty) Ltd
  • Sector

    Construction & Materials

  • Industry

    Construction

  • Sub industry

    Construction

How to buy SEPHAKU Shares

  • SEPHAKU : How to buy SEPHAKU Shares Online

    We have made it simple to buy JSE listed firm shares online. The easiest way to buy SEPHAKU shares or stocks is to; start by submitting the ‘BUY THIS SHARE’ form. Next, one of our experienced and certified stock brokers will personally get in contact with you to discuss your custom stock request. Finally, a stock advisor will confirm the amount of shares you are looking to invest in SEPHAKU and assist you with the setup and management of your stock portfolio account.

  • Here are the steps you must follow to Buy / Purchase ACCPROP shares with utmost confidence:

    1. Start by Filling in the BUY THIS SHARE form.
    2. Insert your name, email, telephone number and monthly remuneration.
    3. Then, Indicate the amount you are looking to invest in SEPHAKU.
    4. Click the “ INVEST NOW” button
    5. Once we have received your info, a dedicated stock advisor will personally call you back to discuss your personal share request.
    6. Lastly, your newly appointed personal stock advisor will handle all account setups and reporting as stipulated by the financial services board of South Africa (FSB)
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<a href="https://www.sashares.co.za/sephaku">Credits: SA Shares™</a>
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