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 July 2017, News
    South Africa • Weighing just 2,5 kg, South Africa’s first privately owned nanosatellite, nSight1, has been successfully launched into orbit from the International Space Station (ISS). Deployed on 24 ...
  • From the chairman’s desk: Manufacturing in South Africa
    19 July 2017, AREI, This Week's Editor's Pick, News
    Warren Muir reflects on his attendance at the 2017 Manufacturing Indaba, and how it fits in with arei’s plans for the South African electronics industry.
  • SA antennas used in major European tunnel project
    19 July 2017, Poynting Antennas, News
    The Gotthard Base Tunnel, the world’s longest and deepest train tunnel through the Swiss Alps, makes exclusive use of technology from Poynting Antennas to ensure a seamless digital communication service underground over a route length of more than 57 km.
  • Training structure the key to successful content
    19 July 2017, News
    The structure and assessment of training programmes are just as important as their content when it comes to up-skilling production staff, explains Bob Willis.
  • Altron appoints executive committee members
    19 July 2017, News
    Altron announced the appointment of Collin Govender and Zipporah Maubane as group executive: shared services, and group executive: marketing, PR and corporate communications, respectively. The company ...
  • Robots race it out in Tshwane
    19 July 2017, RS Components (SA), News
    The fifth annual EECE Race Day was held at the University of Pretoria this year, giving third-year microcontroller students at the department of electrical, electronic and computer engineering the opportunity ...
  • Microchip development board up for grabs
    19 July 2017, News
    Win a Microchip PIC32MK1024GPE development board for motor control and general purpose applications.    Dataweek readers are offered the chance to win a Microchip PIC32MK1024GPE development board (DM320106), ...
  • From the editor's desk: Is SA ready to adopt the ITA?
    19 July 2017, Technews Publishing, News
    2017 marks the 21st anniversary of the Information Technology Agreement (ITA), an initiative of the World Trade Organization (WTO) to eliminate trade tariffs on hundreds of high-tech products. The acronym ...
  • Electrocomp holds successful technical seminars
    19 July 2017, Electrocomp, News
    The Electrocomp Group once again held its ‘SA Best’ technical training seminar series on 16 May at Gallagher Convention Centre in Johannesburg; 17 May at Sica’s Guest House in Durban; and 18 May at Stellenbosch ...
  • Celebrating 20 years of disruptive electronics
    19 July 2017, EDA Technologies, News
    We use the term ‘disruptive technologies’ loosely these days, but actually disruptive technologies have been around forever, most notably since the invention of gun powder, motorised vehicles and, ...
  • Electronics news digest
    14 June 2017, News
    South Africa • Altron announced its annual results for the year ended 28 February 2017, with revenue declining by 26% to R19,7 billion and earnings before interest, tax, depreciation and amortisation ...
  • Cape Town hosts Dynamic Spectrum Alliance global summit
    14 June 2017, This Week's Editor's Pick, News
    The three-day event brought together representatives from five continents and 21 countries around the world, including policy makers, regulators, academia, and public and private sector representatives.

 
 
         
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.