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In southern Africa, Steinhoff has built an expanded value chain, stretching from plantations to value-added products supplied directly to the end
consumer, enabling the group to capitalise on several years of strong demand in South Africa’s household goods sector.
The Africa business houses Steinhoff’s furniture division as well as its raw materials interests, timber businesses, and logistics investments
through Unitrans
Limited.
Steinhoff’s investments in India – the joint venture in Alam Tannery and Alstein – are managed by the African division. The availability of
inexpensive raw material and skilled labour in this region enhance the viability of the joint venture. A new lounge suite manufacturing facility
began production in 2006, complementing the output of leather and cut-and-sewn upholstery furniture covers exported to our manufacturing
operations in South Africa.
Steinhoff also has a 26% equity interest in listed Amalgamated Appliance Holdings
(AMAP), which specialises in importing, manufacturing and
distributing household electrical and electronic durables, including leading global brands under licence.
Steinhoff has announced the disposal to AMAP
of its Furniture Manufacturing operations.
Steinhoff has a 21% stake in KAP International
Holdings, which offers strategic synergies in a common raw materials base and gives the Steinhoff
group an element of diversification by reducing dependence on the furniture industry.
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