Training programme provides big dreams for small town boy

Training programme provides big dreams for small town boy

Posted By: Shopprice South Africa Cape Town – As a child growing up in the small town of Zoar in the Western Cape, Ryan Adams had two dreams: to one day be More »

6 aid workers killed in South Sudan

6 aid workers killed in South Sudan

Posted By: Shopprice South Africa   Six aid workers were killed in an ambush in South Sudan on Saturday, the UN’s humanitarian coordinator for the country said. The aid workers were traveling More »

Trump: US will act unilaterally on North Korea if necessary

Trump: US will act unilaterally on North Korea if necessary

Posted By: Shopprice South Africa (CNN)US President Donald Trump has declared he would be willing to go it alone to restrain North Korea’s nuclear weapons program should China fail to change the More »

Climate change could render Sudan ‘uninhabitable’

Climate change could render Sudan ‘uninhabitable’

Posted By: Shopprice South Africa Temperatures are rising, water supplies are scarce, soil fertility is low and severe droughts are common. After years of desertification, its rich biodiversity is under threat and More »

Farm workers still maltreated, hearings find

Farm workers still maltreated, hearings find

Posted By: Shopprice South Africa Evictions and the bad, cruel behavior of farm workers were among the troubling trends uncovered by country-wide hearings by the cover Committee on Rural Development and Land More »

Limpopo residents attack pastors and congregation

Limpopo residents attack pastors and congregation

Posted By: Shopprice South Africa The Limpopo police have pushed into water a manhunt for a group of group members who attacked church pastors and their persons in great number in Mecklenburg More »

EFF to hold vigil on Sunday evening ahead of Malema’s court appearance

EFF to hold vigil on Sunday evening ahead of Malema’s court appearance

Posted By: Shopprice South Africa EFF first Julius Malema said to so give support to his supporters to go into land 2 years ago at the meeting of friends’ elective meeting The More »

EFF will ask Parliament to dissolve Eskom board

EFF will ask Parliament to dissolve Eskom board

Posted By: Shopprice South Africa The Economic Freedom Fighters on Friday called on the board of Eskom to move after Ceo Brian Molefes example in making ready to put up with too More »

Kidnapped Cape businessman still missing

Kidnapped Cape businessman still missing

Posted By: Shopprice South Africa Cape Town business-man Naushad Deshmukh was still lost by Friday after 12 a.m. with no new developments, Western Cape police said.Representative Captain FC Van Wyk said the More »

DA to lay charges against Brian Molefe after Eskom resignation

DA to lay charges against Brian Molefe after Eskom resignation

Posted By: Shopprice South Africa The Democratic agreement (DA) will put charges against Eskom Ceo Brian Molefe supporters his statement giving up position, the meeting of friends said on Friday. Molefe resigned More »

 

Imperial plots its growth trajectory

110801647

Shopprice South Africa

Johannesburg – Imperial Holdings is planning an international expansion of its logistics business, which ranges from inventory-taking drones to pharmaceutical delivery, as South Africa’s sixth-largest company seeks to capitalise on growth opportunities and offset the impact of a weak rand.

The company’s logistics division would be the main growth driver of the business, chief executive Mark Lamberti said last week. “The logistics business will become an increasingly global business,” Lamberti said. “This will be a major growth vector, and that will be mainly off the continent.”

Lamberti’s work on simplifying the company and selling assets in his two years at the helm has effectively divided Imperial in two, with the other half being a vehicles business that includes importing, dealerships and rental operations in sub-Saharan Africa.

The import division had been affected by the weaker rand, which fell 25 percent against the dollar last year, due to the rising cost of buying in international markets, Lamberti said. As the structure of the group became clearer, analysts and shareholders were asking whether Imperial could split the logistics and vehicles operations into two separate companies, Lamberti said.

“I’m not ready to answer that yet, there’s work to do,” he said. “But that is the obvious question.”

Imperial shares gained by 6.1 percent to R150 at the close of the JSE on Friday. The stock has increased 26 percent this year, valuing the company at R30.42 billion.

Investor concern

Imperial shares have declined 12 percent in Johannesburg since Lamberti became chief executive, compared with an 8.7 percent gain by the all share index. The stock has been affected by investor concern about the depreciation of the rand, which will become less of an impact as other parts of the business expand faster.

A potential split of the company could make sense in the future, once Imperial had expanded its logistics business further, said Mark Hodgson, an analyst at Avior Capital Markets, who rates Imperial the equivalent of buy.

“It’s something more for the medium to long term,” he said. “It certainly gives them something to work toward, but I think in the short term you need the cash flows of the vehicle business to continue to build that logistics business.”

iol.co.za

Leave a Reply

Your email address will not be published. Required fields are marked *

fourteen − one =

Anti-Spam Quiz:

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>