Murray & Roberts Holdings (MRH), one of South Africa’s oldest engineering and construction firms, has officially entered liquidation following a final order issued by the Gauteng High Court. The ruling brings closure to a company that has been a fixture in the country’s industrial landscape since 1902.
In a formal update to shareholders, MRH confirmed that Theo van den Heever has been appointed as the provisional liquidator. Trading of MRH shares on the Johannesburg Stock Exchange (JSE) has been suspended since November 2024, and shareholders will soon receive details regarding the company’s proposed delisting ahead of the final winding-up process.
Subsidiary Murray & Roberts Limited Remains Operational
While MRH is being liquidated, its subsidiary Murray & Roberts Limited (MRL) remains unaffected and continues to operate under business rescue proceedings initiated on 22 November 2024. It’s important to note that MRH and MRL are separate legal entities, with MRL positioned downstream in the corporate structure and not directly impacted by the holding company’s liquidation.
MRL’s business rescue plan centers on the sale of its mining operations to Differential Capital, which includes:
- Cementation businesses in Africa and the Americas
- TNT operations in the Americas
This asset sale effectively stripped MRH of its revenue-generating subsidiaries, rendering the holding company commercially insolvent and triggering the liquidation process.
Despite MRH’s collapse, MRL’s rescue efforts remain on track. The Business Rescue Practitioners (BRPs) and Differential Capital are progressing toward finalizing definitive agreements and meeting suspensive conditions. Earlier this month, the Competition Commission approved the South African aspects of the proposed transaction.
The BRPs have reiterated that the business rescue plan offers the most sustainable and viable path forward, with successful implementation expected to protect approximately 2,800 jobs, particularly within Cementation Africa.
What Went Wrong: A Legacy Unravels
Founded as Murray & Stewart in the Cape Colony in 1902, the company merged with Roberts Construction in 1967 to become Murray & Roberts and was listed on the JSE in 1951. However, decades of legacy could not shield MRH from mounting financial pressures.
In April 2025, MRH warned that it would become commercially insolvent due to the impact of MRL’s business rescue. The group’s interim results for the six months ending 31 December 2024 revealed a loss before interest and tax of R646 million, a sharp increase from R2 million in the year ended June 2024.
This loss was largely attributed to guarantees issued by MRH on behalf of MRL projects, which were called in by clients to fund project completion. As MRH had provided surety, the financial impact was reflected in its own results.
MRL’s financials were reported as discontinued operations, showing R4.6 billion in revenue and a loss before interest and tax of R960 million. MRH’s overall attributable loss stood at R1.4 billion, with a basic loss per share of 167 cents for continuing operations and 414 cents when including discontinued operations.
The group also faced a severe liquidity crunch after De Beers descoped a major contract at the Ventia Mine, which accounted for over 50% of Cementation’s revenue. Additional setbacks included procurement delays and project disruptions at OptiPower, its renewable energy subsidiary.
