BPW Axles (Pty) Ltd has acquired a majority stake in the JMR Trailer Parts Group as part of BPW’s global strategy to expand its presence in the aftermarket. BPW distributes its spare parts in Southern Africa through a wide network of independent distributors, among which JMR Trailer Parts performs a major role. JMR is a reputable spare parts distributor, with eight branches throughout South Africa, offering a wide range of quality trailer parts and accessories to more than 1,500 transport companies.
The objective of the acquisition is to create supply chain synergies and efficiencies between the two companies to better support the customers’ needs, which will always remain both BPW’s and JMR’s highest priority. The acquisition will allow BPW to better understand the aftermarket and expand its product solutions for transport companies in a customer-orientated manner. BPW has no intentions of solely distributing through JMR and it is important to BPW that its other existing distributors are protected and have a fair opportunity to compete. Similarly, JMR has no intention of only distributing and promoting BPW products. All suppliers’ products will be approached with the same support intensity as before, in line with JMR’s strategy to place its customers’ requirements first. JMR prides itself on service excellence and expertise and these will remain its primary goals moving forward.
The parent company of the BPW Group, BPW Bergische Achsen KG, repositioned itself in 2013, promoting its commitment to partnerships in the transport industry, not only being a system partner to vehicle builders, but also being a mobility partner to vehicle operators. Product support forms a mayor part in these partnerships and, hence, this acquisition is in line with similar actions in Europe.
Prior to 2015, the BPW Group’s direct involvement in the aftermarket was limited to European countries outside Germany. However, since 2015, BPW has started establishing a spare parts presence within Germany through its subsidiaries, BESKO Nutzfahrzeugteile GmbH (Büdelsdorf) and T-Parts GmbH (Steinach), and has recently also acquired a majority stake in NTV Nutzfahrzeugteile Oesterhaus KG.
At the turn of the year 2015/2016, BPW Bergische Achsen KG also acquired a majority stake in PE Automotive GmbH & Co. KG, one of the leading suppliers in the independent aftermarket. This will open up opportunities in the local market, not only for the BPW/JMR partnership, but also for other existing BPW distributors.
BPW Acquires a Majority Stake in JMR FAQs
Unfortunately, it is impossible to personally share this information with all stakeholders and it was thus decided to compile a list of frequently asked questions to clarify and eradicate any misconceptions in the market.
Will JMR change its name?
No, the company will still operate under the JMR brand and will be considered a member of the BPW Group.
Will JMR move premises?
The Head Office of JMR will still be situated in Alrode, but will move about 1 km from its current premises to a much larger facility at 5 Barium Street, Alrode, 1451. All other branches will remain within the same premises on the date of acquisition.
Will the staff structure be retained, following the takeover?
The two companies will retain their autonomy in terms of staff, structure and culture. Both companies want to ensure continuity in all areas. This reflects BPW’s integration approach for new partners, which is based on retaining a decentralised group structure.
Will BPW’s pricing structures to its distributors be affected?
BPW will continue to supply and treat all its existing business partners in the spare parts market as before at the standard market conditions, whether or not they are members of the BPW Group.
What are the benefits for JMR?
JMR can learn from BPW and vice versa. The industry expertise provided by BPW and the strong profile of the brands in the BPW Group will open new doors for JMR and, in particular, for the company’s customers, who will have access to an extensive European network of dealers. The acquisition will also allow JMR to accelerate its expansion plans to establish a national footprint by opening up more branches and/or working closer with other distribution partners.
What are the benefits for BPW?
The acquisition will give BPW even better access to its customers’ needs, through which it can expand its solutions for transport companies in a customer-orientated manner.
A strong cultural fit and customer approach were identified between BPW and JMR and it is trusted that you will embrace this information.
Learn more about BPW Axles here.