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Brown McFarlane Moves On From South Africa

The Brown McFarlane Group has concluded the sale of its South African subsidiary Brown McFarlane Africa Pty Ltd to BSi Steel Ltd. "In order to meet the needs of the South African market our business there was increasingly having to focus on areas that did not match the strategic activity in the rest of the Group", says CEO Barry Morse, "which meant that the offer from BSi to discuss a sale was perfectly timed from the Group’s point of view". He went on to praise the commitment and effort of all of the staff at Brown McFarlane Africa and thank them for their contribution over the years to the success of the Brown McFarlane Group.

The Group has operations in the U.K., Belgium, Dubai, and Singapore and the strategy adopted in all of these areas is to stock and process higher value, "niche" products which are being used primarily in the oil, gas, and mineral extraction markets. Morse explains that while South Africa remains a very high volume outlet for quenched and tempered and abrasion resistant steels it has become increasingly competitive to the extent that these products now fall in to what Brown McFarlane would describe as the commodity steel bracket.

"We have traded in South Africa for ten years with our own business there for eight of those", says Morse, “and during that time we have made many friends and learnt much. We will not lose touch with the market and the opportunities it presents but the time is right for us to relinquish our physical presence there and focus our efforts elsewhere".

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