Zahid Group Takes Over Barloworld To Advance Caterpillar Partnership

Dubai (PlantAndEquipment.com) - In a game-changing move that highlights the developing economic link between Saudi Arabia and South Africa, Zahid Group led a consortium to increase investments in Barloworld Limited via a management buyout. The purchase takes the 123-year-old industrial behemoth private and marks the start of a new era for one of Southern Africa's oldest established firms.

Despite the ownership change, Barloworld will maintain its South African identity and leadership, providing continuity for workers, partners, and stakeholders.

Building on its earlier minority stake, Zahid Group's decision to lead the acquisition indicates long-term trust in Barloworld's capabilities and the larger potential of South Africa's industrial sector. It also signifies a significant step forward in the two countries' cross-border market engagement.

Partnership Built on Shared Strengths

Zahid Group's industrial knowledge, accumulated over eight decades, is well aligned with Barloworld's own background. The Zahid Group has represented Caterpillar in the Kingdom for 75 years, while Barloworld has been a Caterpillar dealer for 96 years. This common heritage provides a natural strategic match and a solid platform for future collaboration.

“Leading this management buyout is a natural progression of our longstanding partnership and reflects our shared confidence in Barloworld’s future,” says a Zahid Group representative . “We believe this new structure will unlock further growth opportunities, combining Zahid Group’s global experience with Barloworld’s strong market position and exceptional leadership team.”

The new ownership structure maintains Barloworld's operational independence, with the current management team continuing to operate the company. The deal also includes a skills development project that will launch a youth upskilling program in Saudi Arabia and South Africa in line with Vision 2030. This commitment to talent development demonstrates the long-term value that the partners want to build in both markets.

Positioned for Global Growth

Zahid Group's journey from a General Motors representative in 1943 to a multinational conglomerate operating in 33 countries exemplifies its systematic approach to growth.

Today, the Group represents over 50 companies, employs over 7,300 people, and is ranked as a Top Employer in the Middle East and Kingdom. Its varied portfolio demonstrates great leadership in important economic areas across the Kingdom. Zahid Tractor, one of the Group's flagship firms and an authorized dealer of Caterpillar equipment, has a long history in machinery, power systems, commercial vehicles, and equipment leasing. Across its extended activities, the Group represents key worldwide brands such as Volvo Trucks and Bus, Renault Trucks, UD Trucks and JLG providing world-class products, services, and support to industries across the Kingdom.

Its acquisition of Barloworld adds on this momentum, bringing together the South African company's century-long industrial leadership with Zahid Group's worldwide investment strategy. Together, the two institutions are poised to seize fresh prospects in Africa, Middle East, and worldwide markets.