Barloworld begins new era as privately held company after JSE delisting

Barloworld had entered a new phase in its evolution as a privately held, South African-led industrial business, following the Entsha-led consortium acquisition and Barloworld delisting from the JSE and A2X, chief executive of the heavy industrial equipment group, Dominic Sewela, said Friday.

Entsha now holds a 51% majority shareholding, ensuring Barloworld, which sells Caterpillar equipment in Southern Africa, remains South African-led, while Zahid Group, from Saudi Arabia, participates as a 49% minority partner as a long-term financial investor.

Barloworld delisted from the JSE and A2X on January 27, 2026. Entsha is a 100% black-owned South African investment company associated with the Sewela family. Barloworld first listed on the JSE on January 1, 1941.

"What this transaction does is bring together experienced executive leadership and patient capital that understands the business. Operating in the unlisted space gives us the strategic agility to focus on the core of our business — serving our customers in all market conditions and supporting the wellbeing of our employees," Sewela said.

Barloworld will remain South African-headquartered, with its existing management, staff and operations continuing as business-as-usual.

The group said in a statement that the transaction had been operator‑led and anchored by Sewela, whose leadership journey within Barloworld spanned nearly two decades. He was appointed CEO of Equipment South Africa in 2007, advanced to chief operating officer in 2011, and became CEO of Barloworld Equipment Southern Africa in 2012. He was appointed group chief executive in February 2017.

"This transition allows us to move beyond the short term and adopt the long‑term perspective required to drive sustainable growth and create intrinsic value for all our stakeholders," he said.

He said the consortium structure ensured continuity across the business. Zahid was a long‑term investor in Barloworld, having already maintained a meaningful stake in the group over many years.

"Their continued investment reflects sustained confidence in Barloworld's leadership, strategic direction, and future as it transitions to private ownership. The structure also strengthens direct black ownership and reinforces Barloworld's longstanding commitment to broad‑based participation for employees and communities," said Sewela.

He said that in spite of ongoing market commentary, the Independent Board had ensured strict governance at every turn.

In the year to end-September 2025, free cash flow generated increased by 161% to R1.7 billion, while group revenue declined by 10% to R37.7bn. Group revenue excluding Vostochnaya Technica (VT) in Russia, declined by 4.7% compared to the prior period. Basic earnings per share from group operations fell by 24% to 777 cents (2024: 1 022 cents).

The group's last annual report as a listed entity, released last month, said Equipment Southern Africa finished the financial year year with a strong order book, driven by orders in coal, copper and uranium. VT, Barloworld's Russia subsidiary was currently trading close to breakeven with adequate capital reserves to maintain self-sufficiency for the foreseeable future.

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