• Zahid Group acquired 100% of Barloworld for 23 billion rand ($1.4 billion) through a consortium called Newco.
• The transaction triggered Barloworld’s delisting from the Johannesburg Stock Exchange and A2X, ending 86 years of public trading.
• Zahid confirmed that Barloworld will retain its South African identity, management, and operational independence.

A consortium led by Zahid Group completed the acquisition of South African conglomerate Barloworld for 23 billion rand, equivalent to about $1.4 billion. Zahid Group stated in a release issued on Friday, January 23, that Barloworld will continue to operate independently under its existing leadership. However, Zahid will appoint one representative to Barloworld’s board to “support strategic collaboration and future growth.”

The consortium, named Newco, acquired all outstanding shares of the South African group. Newco includes Gulf Falcon Holding, a Zahid Group subsidiary, and Entsha, a company owned by Barloworld Chief Executive Dominic Sewela. In November 2025, Barloworld announced that shareholders approved the sale of 97.6% of its shares to the Newco consortium. On Tuesday, January 27, Barloworld ordinary shares exited trading on the JSE and A2X, closing 86 years of continuous listing in South Africa.

Strategic alignment between the two groups

Zahid Group founded its operations in Jeddah in 1943. The family-owned conglomerate operates across construction, energy, industry, finance, hospitality, and oil services in more than 30 countries. Zahid previously held a minority stake in Barloworld.

Barloworld has served as the exclusive distributor of Caterpillar construction and mining equipment in southern Africa for nearly a century. The group focuses on industries tied to infrastructure development, energy, logistics, and resource extraction. This footprint creates a strategic fit with Zahid Group, which has acted as an authorized Caterpillar dealer in Saudi Arabia for more than 75 years across construction, mining, and energy equipment.

Based in Johannesburg, Barloworld Ltd also operates in information technology, building materials, and motor vehicle manufacturing. The company, founded in 1902, ranks as the world’s largest manufacturer of forklifts. More broadly, Zahid Group’s acquisition reflects growing Gulf investment in Africa, as oil-rich monarchies seek to capture growth opportunities and expand influence across a continent of roughly 1.5 billion people with significant natural resources.

This article was initially published in French by Walid Kéfi

Adapted in English by Ange J.A de BERRY QUENUM