Canadian firm invests in Cape Town

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IBG - SA Instrumentation & Control Buyers' Guide

July 2002 News

In a major coup for South African manufacturing, Winters Instruments, a leading Canadian instrumentation manufacturer, has acquired the majority shareholding in Rhomberg's business, with the employees and management still retaining a minority interest. Rhomberg is a well-established Cape Town-based designer and manufacturer of industrial instrumentation and industrial automation products.

"This is a major vote of confidence, not only in our company and the quality of our products, but also in South Africa," said John MacDonald, MD of Rhomberg. "We are competitively positioned between the Far East and Europe. The Canadians undertook a thorough research before talking to us and they were impressed with the quality of our products, as well as the commitment of our 300-odd staff and our work ethic."

Winters’ company directors Jeff Smith (left) and David Hillborn (right) flank John MacDonald, managing director of Rhomberg

Rhomberg manufactures its own ranges of pressure and temperature measuring instruments, monitoring relays, proximity sensors, temperature controllers and electronic counters. The company, originally established in the mid fifties, has been supplying at least 15% of their production to Winters for the last five years.

Winters intend bringing production currently manufactured in China to South Africa. "We expect at least a 30% increase in production over the next 18 months," said MacDonald. Winters is also looking at a new range of electronic products that is to be developed and manufactured by Rhomberg.

Established in Toronto in 1953, Winters currently exports to over 60 countries worldwide. "There are tremendous synergies that will benefit both Rhomberg and Winters," said Jeff Smith, managing director of Winters. "A stronger international corporation will emerge to compete in the global marketplace.

"Rhomberg has been turned around by John MacDonald and his team to be a world class instrumentation facility. Winters has a good comfort level with the management team currently in place, who retain the balance of the shares.

"Cape Town is also a great location, a city that has a sophisticated infrastructure, inexpensive labour and is English speaking. I cannot think of another city in the world that matches Cape Town," Smith added.

For more information contact: Rhomberg, tel: 021 552 4930.

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