TitanCrete Readymix — Operations & Plant Infrastructure

The operations and plant infrastructure — the batching plants, capacity and utilisation, the production model, quality control and the operational performance metrics.

Section 8 · Business Plan

Operations & Plant Infrastructure

The operations and plant infrastructure — the batching plants, capacity and utilisation, the production model, quality control and the operational performance metrics.

TitanCrete’s operating footprint is built in three phases, beginning
with five plants concentrated in the highest-demand corridors and
expanding to sixteen by Year 5. Because ready-mix concrete is a
perishable, locally consumed product, plant location is the single most
important operational decision the company makes — each site is
positioned to serve a defined demand catchment within the two-hour
placement window.

8.1 Phased plant rollout

Phase	Region	Plants added	Timing
Phase 1	Gauteng (×3), KwaZulu-Natal (×1), Western Cape (×1)	5	Months 0–18
Phase 2	Mpumalanga, Limpopo, North West, Free State	+6	Months 18–36
Phase 3	Regional densification & SADC feasibility (Botswana, Zambia, Namibia)	+5	Months 36–60
Cumulative by Year 5	National footprint	16	—

Table 14. Plant network grows from 5 to 16
sites; Phase 1 concentrates on Gauteng, KZN and the Western Cape demand
corridors.

Figure 6.

Figure 6. Plant network rollout and the corresponding rise in installed batching capacity.

8.2 Plant design and capacity

Each plant is a modern wet- or dry-batch facility with cement and
aggregate storage, computer-controlled batching, on-site quality testing
and a fleet-marshalling yard. Nameplate throughput is approximately
55,000 m³ per plant per year, and the model deliberately holds blended
utilisation below nameplate — rising from the mid-30s in Year 1 to
roughly 70% by Year 5 — preserving surge capacity for peak pours and
protecting the company’s on-time-in-full promise.

8.3 Supply chain and procurement

Cement, the largest input, is procured from established producers
under volume agreements; aggregate is sourced from quarries and,
increasingly, from the company’s own recycling operations; and
admixtures are bought from specialist suppliers. Materials represent the
dominant cost line — around 58% of revenue at launch, easing toward 54%
by Year 5 as procurement scale and recycling lower the input bill.
Securing reliable, competitively priced cement supply is a critical
operational dependency and a focus of the company’s early commercial
effort.

8.4 Health, safety and quality

Batching, heavy-vehicle movement and pumping are hazardous
activities; TitanCrete operates a documented health-and-safety
management system aligned to South African occupational-health
legislation, with site inductions, vehicle-safety protocols and incident
reporting. Quality is managed through the central SANS-accredited
laboratory, plant-level slump and cube testing, and full batch
traceability — a control environment that doubles as a marketing asset
with risk-averse infrastructure clients.

RISK FLAG — Plant commissioning is the critical path —
and the chief execution risk

Revenue cannot precede concrete, and concrete cannot precede a
commissioned plant. Construction delays, permitting hold-ups or
equipment lead-times directly push out the volume ramp and deepen the
early-year losses. The implementation roadmap in Section 14 places plant
construction and equipment commissioning on the critical path, and the
R20m contingency in the uses of funds is sized partly against this risk.
Diligence should verify site control, environmental authorisations and
equipment-supplier lead-times before close.

8.5 Capital-expenditure phasing

Capital deployment is phased to match plant commissioning and the
volume ramp, avoiding the cash drag of building ahead of demand. The
initial R420 million raise funds the Phase-1 build; thereafter, growth
capital of approximately R375 million is invested across Years 2–5,
funded predominantly by asset-backed expansion finance. The schedule
below sets out the indicative phasing.

Table 15. Capital-expenditure phasing (ZAR millions)

Capital category	Y1	Y2	Y3	Y4	Y5
Initial plant, fleet & equipment (from raise)	360	—	—	—	—
Growth capex — new plants	—	45	62	55	35
Growth capex — fleet scale-up	—	30	38	35	25
Growth capex — recycling & solar	—	10	15	15	10
Total growth capex	—	85	115	105	70
Cumulative invested capital	360	445	560	665	735

Table 15. Capital is deployed in step with
commissioning; cumulative invested capital reaches ~R735m, well above
the R420m headline raise.

Confidential — this business plan is provided to prospective investors and lenders for evaluation purposes only and may not be reproduced or distributed without the written consent of TitanCrete Readymix South Africa (Pty) Ltd.