Beneficial interest Sofinim: 30%
AvH Contact: Matthias De Raeymaeker
Manuchar positions itself in the value chain between the manufacturer and the end-user industry, and creates value in sourcing, logistics and local distribution of a wide range of products, for which Manuchar can combine the logistics on the same or different markets. Its firm local establishment represents an additional advantage for manufacturers. Depending on the product and market, the strategy will be shaped in a different way, so that a growing number of different market product concepts are formulated from four trading platforms (Antwerp, Hong Kong, Johannesburg and Rio de Janeiro).
The branches in the growth markets generate 80% of their business in the distribution of chemicals. This activity is not equally profitable everywhere. There are increasingly recurrent profits from the most mature branches, while there are still start-up losses in several more recent branches that have to be taken into account. The chemicals activity very deliberately invests as far as possible in the supply chain (to the front door) of the customers. This activity is expected to flourish in the next three years when the chemicals manufacturers come to realize the extent of Manuchar's network. Manuchar is well on the way to gaining a top three position on the chemicals distribution market in the main growth markets.
The branches are consistently and systematically coached by the head office in Antwerp on the importance of sustainable business management, and Manuchar takes part in international programmes for 'responsible sourcing' with audits of third parties.
Manuchar Dubai was set up in 2012 to serve as a hub for the emerging markets in the Middle East. Agreements were also reached to increase the stakes in Manuchar Dominica and Manuchar Brazil to 83% and 100% respectively. A total sum of 13 million euros was invested in storage facilities for chemicals, and 3 million euros in trucks.
The steel activity had a more difficult year in 2012 due to the overcapacity in the industry and the impact on steel trading. In this product, Manuchar is almost exclusively engaged in back-to-back trading. Manuchar Steel sources primarily from China, India and the CIS countries, and focuses its sales on the growth markets of Latin America, Africa, the Middle East and Asia. By deliberately concentrating more and more on products with a higher added value on niche markets, the steel operations still made a substantial contribution in 2012.
Manuchar is also active in trading in certain commodities. In a difficult international context, the non-ferrous, polymer, pharmaceuticals, automotive and cement business units boasted a record year, while trading in wood, mining and paper was rather less successful. In 2013, Manuchar primarily wants to continue investing in the development of its IT infrastructure and in the further expansion of its distribution operations for chemicals in growth markets.
|19/06/2007||AvH acquires a 20%-stake in Manuchar|