Bates Motors acquires Isuzu Truck World
Bates Motors acquires Isuzu Truck World
Bates Motors, Isuzu’s first 100% African black-owned dealership in South Africa, has acquired Isuzu Truck World.
KwaZulu-Natal-based Bates Motors, which is an authorised Isuzu franchisee, has signalled its entry into Gauteng with a 100% share acquisition of Isuzu Truck World in Kempton Park.
The sale of Isuzu Truck World to Bates Motors has been funded through a combination of own equity and debt through the newly launched Automotive Investment Transformation Fund (AITF), which focuses on the acceleration of transformation in the South African automotive value chain. Isuzu Motors South Africa is one of the seven founding automotive manufacturers of the AITF.
The move comes two years after the complete acquisition of the Bates Motors business by Isipho Capital Motors in 2019. As a result, Bates Motors and Isuzu Truck World are now 100% African black-owned (and 65% black women-owned) businesses.
Isipho Capital Motors is run by husband-and-wife team Sipho and Fortunate Mdanda. The team is operationally involved in the day-to-day businesses of all the Isipho Capital Holdings groups. Fortunate Mdanda is the chairwoman of Bates Motors and the CEO of Smith Capital Equipment and Sipho Mdanda is the dealer executive of Bates Motors and the executive director of Anderson and Kerr Engineering.
The duo is at the forefront of South Africa’s new wave of black industrialists, consolidating their extensive banking and corporate management experience through various organic and acquisitional growth strategies.
Among the companies owned by Isipho Capital are Smith Capital Equipment, a specialist in truck mounted cranes, drilling rigs, waste solutions and aerial platforms; Mr Coach, a panel van and truck converter; Anderson and Kerr, a repairer of hydraulic and pneumatic products; Kholek Engineering, a specialist truck bodies and trailer manufacturer; and a fleet-maintenance business, Isipho Capital Fleet.
But, for now, the focus is very much on Isuzu. “We are pleased to increase our investment in the Isuzu brand,” says Fortunate Mdanda. “We believe the acquisition of Isuzu Truck World is a testament to our commitment to the transformation agenda in the South African automotive sector – a commitment we share with Isuzu Motors South Africa.”
In addition to selling and servicing Isuzu’s range of new commercial vehicles, Bates Motors stocks Stellantis – Opel, Peugeot, Citroën-branded commercials and passenger cars, as well as preowned vehicles.
Isuzu Truck World, on the other hand, is responsible for the sales and service of Isuzu’s complete range of medium, heavy and extra-heavy trucks, buses, bakkies and mu-X SUVs. The dealership is located in close proximity to the Ekurhuleni Aerotropolis at the corners of Great North Road and Deodar Street in Pomona, Kempton Park.
The acquisition of Isuzu Truck World is but one of many planned ventures for Isipho Capital Motors. “We have plans to expand our footprint in the fleet solution market,” says Sipho Mdanda. “Both Fortunate and I have gained experience in the field. Organisations that are keen to acquire vehicles with a low cost of ownership and want to drive BEE procurement are welcome to contact us. As a BEE Level 1 black-owned company, we are there as willing partners,” he says.
Watch this space; it’s clearly a case of onwards and upwards for this rapidly growing and progressive company.
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