Bidvest, led by South African executive Mpumi Madisa, secures UK nod for Citron takeover

Key Points

• The UK’s CMA has cleared Bidvest to acquire Citron, expanding its global presence in hygiene, facilities management, and distribution services.
• Citron serves 50,000 locations across Canada, the U.S., and the UK, strengthening Bidvest’s market position in high-growth industries.
• Earlier this year, JP Morgan acquired a 5.03% stake in Bidvest, reinforcing investor confidence in its growth strategy and earnings potential.

Bidvest Group Limited (Bidvest), the Johannesburg-based industrial and services company led by South African executive Mpumi Madisa, has received clearance from the UK’s Competition and Markets Authority (CMA) to acquire Citron, a provider of washroom hygiene products and services. The approval marks a significant step in Bidvest’s global expansion, strengthening its position in hygiene, facilities management, and distribution services.

Citron expands Bidvest’s global footprint

Headquartered in Toronto, Canada, Citron serves 50,000 customer locations across North America and the UK, covering industries such as manufacturing, hospitality, education, healthcare, and commercial services. With seven branches in Canada, four in the U.S., and 10 in the UK, the acquisition gives Bidvest a stronger presence in high-growth markets.

The deal aligns with Bidvest’s long-term strategy of scaling its hygiene business while leveraging Citron’s infrastructure to improve efficiency and service innovation.

Bidvest confirmed that the acquisition does not meet the Johannesburg Stock Exchange’s (JSE) criteria for a categorized transaction, making disclosure voluntary. Now that the CMA has given the green light, both companies are moving toward finalizing the deal—opening up new opportunities in a market where hygiene and sanitation services remain in high demand.

With regulatory approval in place and investor confidence strong, Bidvest is in a solid position to expand its global operations and tap into shifting market trends.

Bidvest’s growth under Mpumi Madisa, JP Morgan backs expansion

Founded in 1988, Bidvest operates across South Africa, the UK, Ireland, Spain, and Australia, managing more than 250 businesses and employing 130,000 people. With a market capitalization of R81.2 billion ($4.4 billion), it remains one of South Africa’s most valuable companies. Under Mpumi Madisa’s leadership, Bidvest has navigated inflationary pressures and supply chain disruptions by focusing on diversification and cost management.

For the six months ending Dec. 31, 2024, Bidvest reported a 5.7 percent revenue increase to R64.5 billion ($3.51 billion), driven by steady demand for essential goods and services. The company also announced an $86.9 million dividend payout for the first half of its 2025 fiscal year, underscoring its commitment to delivering strong returns for shareholders.

Earlier this year, global financial powerhouse JP Morgan Chase & Co. (JP Morgan) acquired a 5.03 percent stake in Bidvest for $241.5 million, underscoring investor confidence in the company’s expansion strategy and earnings potential.