Moroccan Rags-to-Riches Family Plans Business IPO for Expansion

(Bloomberg) -- Menara Prefa, a private building materials producer, plans to list shares on the Casablanca stock exchange in 2021 to help its family-run parent company expand operations domestically and in sub-Saharan Africa.

The Marrakesh-based firm operates Africa’s largest concrete plant and controls seven quarries. Menara Prefa generates 70% of parent company Menara Holding’s revenue.

"Menara Prefa is the core of our group," the company said in an emailed response to questions. "We are giving ourselves three years to list its shares so that Menara Holding faster achieves its development goals." It didn’t provide other details.

Menara Holding is wholly owned by relatives of founder Abderrahmane Zahid, a former mechanic who started the business in 1976 and built it up into a major player in the building materials sector.

After his 2016 death, the group set out to triple its revenues and transform Menara Prefa into a market leader in 2025.

To contact the reporter on this story: Souhail Karam in Rabat at skaram10@bloomberg.net

To contact the editors responsible for this story: Alaa Shahine at asalha@bloomberg.net, Tarek El-Tablawy, Paul Abelsky

©2019 Bloomberg L.P.