mobile | classic  
Dataweek Electronics & Communications Technology Magazine





Follow us on:
Follow us on Facebook Share via Twitter Share via LinkedIn


Search...

Electronics Buyers' Guide

Electronics Manufacturing & Production Handbook 2017


 

Huge investment in Altron, management shake-up on the cards
31 January 2017, News

Altron has announced the securing of R400 million in investment capital, and a roadmap for revamping the technology group’s control structure. The proposed investment by Value Capital Partners (VCP), if approved by regulators and shareholders, will kickstart Altron’s stated intention to move from a family controlled and managed business to independent management.

VCP is an investment company founded by Antony Ball, founder and ex-CEO of Brait, and Sam Sithole, ex-CFO of Brait. Altron will issue new shares to VCP which will provide VCP with an approximate 15% stake. According to Dr Bill Venter, Altron non-executive chairman, the proposed investment reflects market confidence in Altron following the implementation of its revised strategy to focus the group in areas where it has the resources, competence and skills to leverage its competitive advantage.

“This investment is beneficial for the Altron Group as it provides us with the added flexibility to implement our growth strategy in our core IT businesses, exit the non-core manufacturing assets, and create capacity for acquisitive growth. Our discussions with VCP have been extremely positive. VCP has a collaborative approach to unlocking value and is committed to working with the Altron board, Altron management and other stakeholders to implement our strategy to the benefit of all stakeholders,” he said.

At the same time, Dr Venter and the Venter family have agreed that, should the transaction be successfully implemented, it will result in the collapse of Altron’s current control structure through the conversion of the company’s low-voting shares into a single class of voting shares.

According to Dr Venter, he and the Venter family will remain invested in and fully committed to the company and will thus retain their full economic interest.

“Currently I and the Venter family have a 57% voting position in the Altron Group, but our economic position in the Group is approximately 17,5%. Going forward, the family will maintain its economic position and, subject to regulatory approval, a mechanism will be put in place that will afford the family a 25,1% voting position. This will remain in effect as long as the Venter family holds an economic interest of more than 10% in Altron,” he said.

Furthermore, Dr Venter has decided that he will retire as non-executive chairman at the end of the company’s current financial year and will assume the title of chairman emeritus while remaining a non-executive director of the company. The board of directors will appoint a new independent chairman from within its ranks and will, in due course, continue with the process of recruiting a group chief executive as replacement for Robbie Venter, who will then become a non-executive director. As part of VCP’s investment, Messrs Ball and Sithole will join the board. The board is also looking to appoint new members who have a strong background in information technology.

Commenting on the appointment of a new chief executive, Robbie Venter indicated that this would take place in a phased approach as there were still a number of key projects currently underway relating to the repositioning of the group as a focused, but smaller, IT company. This includes the sale of the non-core assets of the group. Once this process has been effectively completed, the appointed independent leadership would be in a position to grow the business off this solid base.

“I am confident that these proposed changes will have a positive effect on Altron going forward and although more work needs to be done, the outlook is extremely positive with respect to getting the group back on a path of profitability and growth that is sustainable,” Dr Venter concluded.

For more information contact Chris van Zyl, Altron Group Services, +27 (0)11 205 7969, cvanzyl@altech.co.za, www.altron.com


  Follow us on Facebook Share via Twitter Share via LinkedIn    

Further reading:

  • Electronics news digest
    19 April 2017, News
    Overseas    Companies • Apple dealt a blow to Imagination Technologies, and to its share prices, by announcing that it will no longer use Imagination’s intellectual property in its new products in 15 months ...
  • arei - from the chairman's desk
    19 April 2017, AREI, News
    The rumours were confirmed on 31 March 2017, but one has to wonder if this is just a lead up to a sick April Fool’s joke. Alas, there are no Zapiro cartoons in the Sunday papers with the words “Heh, Heh, ...
  • Company profile: Solve Direct Electronics
    19 April 2017, News
    And so it happened that, in 2014, he started Solve Direct Electronics as a 100% black owned (40% black women) business operating from Saab Grintek Defence’s premises in Highveld Techno Park, Centurion, ...
  • Mteto Nyati chosen to lead Altron
    19 April 2017, News
    Nyati was previously the CEO for MTN South Africa, having taken up the role in October 2014 after working at Microsoft South Africa since 2008. At Microsoft, he served as managing director for the South ...
  • From the editor's desk - Out with the old
    19 April 2017, Technews Publishing, News
    I once mistakenly credited President Jacob Zuma with having an underrated, though diabolical, sense of humour. That was back when he decided to split the former Department of Communications into a new, ...
  • Microchip pushes direct e-commerce via mobile
    19 April 2017, News
    Microchip Technology has débuted its updated, feature-rich and mobile-optimised e-commerce platform for purchasing microcontrollers, mixed-signal, analog, Flash-IP solutions and more. microchipDIRECT, ...
  • Low-cost IoT breakthrough
    19 April 2017, News, Electronics Technology
    “A wireless technology breakthrough from product design and development firm, Cambridge Consultants, is bringing the vision of ‘smart dust’ a step closer to reality,” claims a recent statement by said ...
  • DesignSpark nets half a million users
    19 April 2017, RS Components (SA), Design Automation, News
    DesignSpark, an online electronics engineering community launched in 2010 by RS Components, recently welcomed its 500 000th member. The DesignSpark ecosystem offers online design resources and free ...
  • Electronics news digest
    22 March 2017, News
    Overseas    Business • For the first quarter of its fiscal year 2017, Analog Devices announced revenue totalling $984 million, down 2% sequentially but up 28% year-over-year. Revenue in its B2B markets ...
  • Online ordering is advancing, but not yet the norm
    22 March 2017, News
    Two local electronic component distributors and a leading security OEM share their insights on the popularity of online ordering platforms.
  • Training and facility upgrade at KZN solar module plant
    22 March 2017, News
    ARTsolar has implemented a certified training and facilities upgrade programme at the only South African owned photovoltaic manufacturing plant.
  • Chronicles of DesignCon 2017
    22 March 2017, Cirtech EDA, Manufacturing / Production Technology, Hardware & Services, News
    Cirtech EDA’s Nechain Naicker was appointed to DesignCon USA’s technical programme committee, and reports back on the conference.

 
 
         
Contact:
Technews Publishing (Pty) Ltd
1st Floor, Stabilitas House
265 Kent Ave, Randburg, 2194
South Africa
Publications by Technews
Dataweek Electronics & Communications Technology
Electronic Buyers Guide (EBG)

Hi-Tech Security Solutions
Hi-Tech Security Business Directory

Motion Control in Southern Africa
Motion Control Buyers’ Guide (MCBG)

South African Instrumentation & Control
South African Instrumentation & Control Buyers’ Guide (IBG)
Other
Terms & conditions of use, including privacy policy
PAIA Manual





 

         
    Classic | Mobile

Copyright © Technews Publishing (Pty) Ltd. All rights reserved.