Enterprise Africa May 2024

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www.enterprise-africa.net May 2024 Collies Group / Avis SA / Hubble Energy / Mintek Major Acquisition Fuels Link Africa for Future Expansion
ALSO IN THIS ISSUE:
Exclusive Interview with Imran Abbas, Link Africa CEO
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EDITOR’S LETTER

EDITOR Joe Forshaw joe@enterprise-africa.net

SENIOR PROJECT MANAGER Sam Hendricks sam@enterprise-africa.net

SENIOR PROJECT MANAGER James Davey jamesd@enterprise-africa.net

PROJECT MANAGER Eleanor Sarbutt-King eleanor@enterprise-africa.net

PROJECT MANAGER Jamie Waters jamie@enterprise-africa.net

PROJECT MANAGER Chris Bolderstone chris@enterprise-africa.net

SALES MANAGER Tommy Atkinson tommy@enterprise-africa.net

LEAD DESIGNER Aaron Protheroe aaron@enterprise-africa.net

ACCOUNT MANAGER Isabel Murphy isabel@enterprise-africa.net

CONTRIBUTOR Manelesi Dumasi

CONTRIBUTOR Timothy Reeder

CONTRIBUTOR Benjamin Southwold

CONTRIBUTOR William Denstone

E. chris@cmb-multimedia.co.uk

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Pioneering spirit is at the heart of modern South Africa. The macroeconomic climate forces an innovation drive on the business community. While no one wants blackouts, potholes, inequality, or corruption, these issues bring with them a level of invention that you would not find elsewhere.

The ideas and businesses that grow in this creative and forward-thinking country are demonstrative of how, despite the news, South Africa will grow and accelerate in the future (whatever the election brings).

At Mintek – the world-renowned mineral processing research company – every day is filled with originality as an unrivalled team of academics, engineers, and technicians dream up ways of utilising minerals for the benefit of people around the world. Professor Indresan Govender tells us more about 90 years of this historic operation.

In Durban, at Collies Group – a leading manufacturer in the fashion and textile space – new family leadership is taking the group on a journey of re-strategisation as demands from clients drive a need for new and different. MD Roland Hansen wants more market share and entry to new sectors as the team capitalises on success in a post Covid world.

Hubble Energy is a unique and young company supplying battery infrastructure to the renewable energy industry. CEO Marius Vincent tells us about some exciting upcoming product development that will help propel businesses with solar into a new era of sustainability.

Then there’s Link Africa – a major fibre infrastructure company. acquiring BitCo Telecoms and starting Cloud Dynamics, the company is now able to provide a bigger and better range of products and services including its patented FOCUS™ methodology of installing cables alongside existing infrastructure – it’s genius.

These companies are booming because they do things differently. They apply unique thinking to local issues, and come up with ideas that international players could never imagine. In modern South Africa, if you can’t do this then you’ve probably had your time.

Tell us what you’re doing differently. We’re online all the time at LinkedIn.

GET IN TOUCH

+44 20 3097 1743

joe@enterprise-africa.net www.enterprise-africa.net

www.enterprise-africa.net / 3
4 / www.enterprise-africa.net CONTENTS 36 20

LINK AFRICA

Major Acquisition Fuels Link Africa for Future Expansion

ADAPT IT

Specialised Solutions Help Clients Achieve More

MINTEK

Mould-Breaking Mintek Celebrates 90 Years

SOUTHEY CONTRACTING

Holistic, Integrated Growth Strategy Targets Increased Market Share

HUBBLE ENERGY

Technology Trailblazers Expanding Globally

COLLIES GROUP

Historic Collies Focused on Future Growth

BOEKENHOUTSKLOOF

New Growth to Fuel Ongoing Success of Globally Renowned SA Winery

AVIS SOUTH AFRICA

Driving Change in SA Mobility

TRANSNET FREIGHT RAIL

Proudly Placed to Alter the SA Rail Industry

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LINK AFRICA

Major Acquisition Fuels Link Africa for Future Expansion

PRODUCTION: Jamie Waters

Link Africa’s CEO Imran Abbas is delighted with the progress made in the past 12 months, especially following the recent acquisition of BitCo Telecoms and the formation of Cloud Dynamics. Now, we all three companies operating together, and with a major opportunity in sub-Saharan Africa to connect the unconnected, Link Africa is perfectly positioned for continued growth.

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INDUSTRY FOCUS: TELECOMS

//In 2023, Link Africa – the largest provider of cost-effective, high-speed, open-access telecommunications infrastructure in South Africa – was on a high after a new management team was put in place. Headed by industry veteran CEO Imran Abbas, a new vision and strategy was put in place focusing on an open-access model. The hope was that more of the country, and continent’s, unconnected could be included in an increasingly digital world.

Speaking to Enterprise Africa, Abbas said that the company was fuelling a national imperative to bring more people online by rolling out a bigger and more diverse network.

Today, the company continues with its long-term vision but has strengthened its position following the acquisition of BitCo Telecoms, a leading mixed telecoms solutions provider. BitCo holds a strong position in the market with a brand that is recognised throughout the country.

For Abbas, the acquisition is

about much more than just product diversification. It adds scale and excellence, while allowing for vastly improved product and service delivery.

“Link Africa was a layer one, layer two service provider – only providing infrastructure,” he tells Enterprise Africa. “I had two strategies last year; firstly, to move into Over The Top (OTT) services via a ISP. We also wanted to

create a separate company providing the services of an ISP which we have done with Cloud Dynamics.

“We have acquired BitCo as an ISP which takes us up the stack, and with the establishment of Cloud Dynamics we can now offer OTT including security, cloud services, and unified comms which a normal ISP wouldn’t do.”

At the same time, the group

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can now offer enhanced network coverage and reliability, making the most of combined networks across fixed and wireless infrastructure.

Link Africa brings fibre strength and BitCo brings wireless options.

“The two networks complement each other and give us extended coverage in the market. The acquisition will encourage greater investment in technology as well as innovation, and customers will benefit through improved products and services,” says Abbas.

Outgoing CEO at BitCo, Jarryd Chatz, said: “I am eagerly anticipating the continued growth and success of both BitCo and Link Africa in the competitive telecom arena. These two companies will undoubtedly spur each other on to greater heights of excellence.”

SUCCESSFUL INTEGRATION

Bringing two companies together is never an easy task, especially when both are operating at scale and working across similar but ultimately different technologies.

Abbas and the management teams had to quickly ensure there was no culture clash and clients continued to receive uninterrupted service of the level expected from an industry leader.

“It was a little painful - it took too long,” he says of the acquisition process.

“In South Africa, whether it’s a small company acquiring a big company or the other way around, it’s the same long process that takes 18 months. The regulations and tribunals take a very long time, and it hurts both businesses.”

Despite these challenges, the companies have been successful coming together. In fact, Abbas

LINK AFRICA

details significant positivity among staff on the BitCo side of the deal, with clear expectations and goals put in place from the beginning allowing for a cohesive push.

“We did a survey last week among employees on the BitCo side and we wanted to get some measurement on where they are. We did this six months ago, before we started the process and now we have completed further research. It’s positive to note that there has been a 10% improvement on the employee set and that is good news because it often goes the other way. We have shared an integrated structure, and on day one I shared plans for day 30, day 60, day 90 and day 100 with all employees. We are sticking to those plans and that is positive. I think it is going very well.”

Link Africa has a presence across

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INDUSTRY FOCUS: TELECOMS

South Africa, operating since 2011, and BitCo has grown its presence since 2006. Because of the depth and reach of the individual brands – both well-known across multiple channels – Abbas is keen to retain both identities separately. BitCo is a lead sponsor of Cricket South Africa and Link Africa is an athletic sponsor of participants across various cycling and running events. Through these initiatives, and other similar projects, both brands have amassed strong recognition. Abbas hopes that through integrating passively, benefits will be passed to end users.

“We are joining the networks and they will integrate with each other, and it’s the same with the people. The strength is our diversification, now across wireless and Wire LAN. It gives

us different opportunities and it helps us to be able to provide a temporary solution to customers while still working on the fixed Wire LAN solution so that we can provide a temporary microwave, point-to-point, point-to-multipoint link for them. The waiting time on delivery is far less now, and we are utilising those benefits in the market.

“We will now get the best of both worlds in terms of integration, ensuring that there is a fully converged service for the customer and a fully converged network for the future. We are going to provide OTT services with neither Link Africa or BitCo providing this previously. Through AI, we are looking at how we can provide a seamless network and become Metaverse ready – possibly the first network in Africa to achieve this. Obviously, we will reduce

latency and improve technology and these benefits will be significant two or three years down the line.”

A core focus for Link Africa has always been to provide products and services at a cost-effective price. With the convergence of the network with BitCo, there is hope that prices across some services can be improved as the company looks to feed into its other core value – improving connectivity across the region.

“There should always be a benefit to the customer in the end,” states Abbas. “When we look at the advantages of combining the networks, specifically how that translates into more cost-effective products or services otherwise it’s no use trying to do this. If there is no benefit to the consumer, we are only fooling ourselves. We are

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LINK AFRICA

definitely not about starting price wars – we can’t afford that, but we definitely want to pass benefits to the end user. In fact, we are looking at better pricing within the first year.”

ONGOING OPEN ACCESS

Post-acquisition, the Link Africa focus on growth through the open-access model – where service providers share physical infrastructure – remains the preferred strategy. Abbas calls open-access his ‘bible’ highlighting the work he has done over the years with Facebook and other brands, all over the world, promoting the benefits of the model. Through openaccess, Link Africa will connect more of the unconnected and transform southern Africa’s digital landscape.

“We are signing partnerships with municipalities to reach more remote

areas and we are looking at coming up with different solutions around connectivity. Getting fibre there is not viable or feasible for shareholders of any company in Africa,” he says. “We are looking at wireless solutions and an aggregation point to bring the traffic back to a main metro. We have started one project in KZN and we are looking at expanding in other areas.

“Operators in SA, and across the world, that duplicate infrastructure are wasting so much. That money could have been spent better connecting

the unconnected. Competing on infrastructure means nothing if you don’t connect the unconnected, improve value in the country, or increase GDP of the country. Building infrastructure and spending shareholder money means absolutely nothing. My belief is that we should share infrastructure and networks and compete on the service level. It’s not all talk – we make our network available to anyone that wants access to it. We have even offered fibre for free for companies that can offer the same for us.”

// THROUGH AI, WE ARE LOOKING AT HOW WE CAN PROVIDE A SEAMLESS NETWORK AND BECOME METAVERSE READY – POSSIBLY THE FIRST NETWORK IN AFRICA TO ACHIEVE THIS //
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INDUSTRY FOCUS: TELECOMS

He adds that the company will also remain focused on customers in business, enterprise, and wholesale rather than bringing fibre to the home (FTTH) at this stage.

A vital string in the Link Africa bow is the company’s patented FOCUS™ system where fibre cables can be installed alongside other utility infrastructure such as water or sewerage pipes, eliminating the need for costly trenching and re-trenching. Of course, there are limitations, but FOCUS™ offers major opportunities across the continent.

“If you manage this well with municipalities you can provide a far more reliable network. Very rarely do you have trenching or digging from third parties because permits are required around the existing

infrastructure,” says Abbas.

“This is a model for across Africa. It provides a 46% saving on trenching. That makes it one way to increase connectivity quicker. You just need to get the approvals which is difficult in different countries –there is a different process in Angola compared to South Africa compared to Kenya compared to Zambia.”

He adds that a major issue for the rollout of FOCUS™ is the traditional mindset of many CTOs and CIOs. “You can’t keep thinking that fibre, water, gas, and electricity should be laid in certain areas. It’s an open access scenario – if there is a possibility of sharing the trench then it should be shared. It helps reduce costs which is good for consumers.”

Link Africa has already proven

FOCUS™ across large parts of KZN and the plan is to continue rolling out as much as possible across sub-Saharan Africa, in partnership with like-minded organisations. Around 10,000km of Link Africa fibre combined with BitCo’s remote access to existing towers makes for a holistic package that few other independents can match.

VERY EXCITING

Many in South Africa still rely on weak wireless connectivity, and some remain totally unconnected. For society to advance meaningfully, this must change. By the end of this year, the SA government would like to have 80% of people with full access to the internet alongside growing highspeed fibre networks to improve fixed speeds – which have doubled over the

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LINK AFRICA

past three years. Link Africa is playing its part, and with BitCo now part of the journey, Abbas is excited about the impact the company can have.

“It is still new as the structure is all new,” he says of the organisation now made up of three companies. “We have a new ExCo between Link Africa and BitCo and Cloud Dynamics, and we are rolling out a new strategy for the next 18 months. It’s very exciting and it is a combined family. The three companies sit together and define the roadmap for the next three to five years.

“We are not unrealistic and we are still looking for 15% market share in South Africa. We are also looking at expansion outside of SA,” he adds. “We understand that there will be consolidation in SA and so we must continue to show our value as a

company. The aim is to make sure we achieve double digit growth and increase capacity in our customer base. We are in the process of bringing on new shareholders post-acquisition and that opens the door for new investment so that adds to the excitement.”

The agile and nimble approach to growth has been impressive, and in just 12-months Link Africa has taken big strides. Overcoming macroeconomic challenges including significantly lacking investor confidence, weak infrastructure, political uncertainty, and well-documented power issues to name a few, the company has remained laser focused on its core vision, changing with the times to bring value to consumers.

“If we stayed as we were 18 months ago, we would have been in trouble,” admits Abbas. “We always look at

ways of reinventing ourselves and we must continuously find ways to bring benefits for end users. We are under huge macro-economic challenges in Africa and yet we are growing, and that is extremely pleasing.”

Reliable networks, provided at affordable prices, across fixed and wireless infrastructure, through openaccess models makes Link Africa not just a supplier but a partner to the modern, technological South Africa of the day. After the acquisition, the company is now better placed than ever to push its vision of universal digital inclusion.

Content sponsored by Link Africa

www.enterprise-africa.net / 13 WWW.LINKAFRICA.CO.ZA

ADAPT IT

Specialised Solutions Help Clients Achieve More

PRODUCTION: Jamie Waters

A provider of leading specialised software and digitally-led business solutions, put simply, Adapt IT exists to assist clients across targeted industries to achieve more: customer experience, administration, resource planning and public service delivery are among those elements first in line for scrutiny, improvement and uplift.

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INDUSTRY FOCUS: TELECOMS

//A truly South African company to its core which operates as a standalone business within the Volaris Group, itself a subsidiary of Toronto Stock Exchange-listed Constellation Software (CSI), Adapt IT is a Level 1 B-BBEE contributor serving more than 10,000 customers globally, headquartered in Johannesburg and with further regional offices in Durban and Cape Town.

Adapt IT’s specialised software and digitally-led business solutions and advisory services provide large-scale overall improvements and high valueadd across six key client sectors, namely in education, manufacturing, energy, enterprise performance management (EPM), telecommunications and hospitality industries. In each, adds the company, it has accrued deep

sector knowledge and experience and delivered a proven track record of providing niche solutions and services.

“Since our 2008 JSE listing,” Adapt IT unpacks, “we have acquired multiple companies, enhanced our global footprint and solidified our software and solution offerings across focused industries.”

DIVERSIFICATION CREATES SUSTAINABILITY

From reporting to business intelligence, improving core business operations is one top priority, alongside the likes of customer experience, business administration and support, enterprise resource planning and public service delivery. “There are additionally a number of products and solutions that are relevant to

multiple industry sectors, further extending the company’s capability to add value to more clients,” Adapt IT declares. “Adapt IT has established a vast amount of expertise and experience that we are able to draw upon, helping our clients to progress.

“Our solutions are tailored to niche industry environments, offering expertise and in-depth solutions to complex problems facing our clients.”

For a long time, Adapt IT has lived by the belief that through diversifying its operations and services it can consistently gain greater strength and, in turn, sustainability. “We embrace and value the diversity of our cultures, skills, experience and individual contributions,” the company opens, and

Continues on page 18

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INDUSTRY FOCUS: TELECOMS

Continued from page 16

this commitment is further borne out at various levels in the organisation, in pillars such as skills, products, clients and even geographic considerations.

“Adapt IT categorises technology specialists as having international expertise, single market expertise, specialised skills, as consultants in specific fields or as technology experts in software skills,” it details, while continuous innovation in building new technologies and solutions for clients

ensures that the solutions offered exceed expectations and deliver on Adapt IT’s value proposition. Client diversification is pursued through both sector diversification and software sales, the company explains, principally within the specifically targeted Pan African and Asia Pacific markets, where it has historically realised success.

“Remaining at the forefront of the latest technology trends is a key focus area for Adapt IT,” reasons CEO Tiffany Dunsdon. “Our cross-industry solution focus means that we constantly keep

// ADAPT IT HAS ESTABLISHED A VAST AMOUNT OF EXPERTISE AND EXPERIENCE THAT WE ARE ABLE TO DRAW UPON, HELPING OUR CLIENTS TO PROGRESS //

abreast of latest developments, and our Pan Africa and International market presence implies that we have a holistic view of the technology enhancements taking place throughout the market.”

ADROIT ACQUISITIONS

Historically fundamental to diversification - arguably more than any other elementhas been the acquisition of businesses in new vertical industries with skills, products, clients and new geographies, “where these cannot be added rapidly through organic efforts,” Adapt IT adds. “These businesses typically have their own software IP and access to markets and enable enhanced cross selling.”

This appetite to expand its

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// OUR SOLUTIONS ARE TAILORED TO NICHE INDUSTRY ENVIRONMENTS, OFFERING EXPERTISE AND IN-DEPTH SOLUTIONS TO COMPLEX PROBLEMS //

operations and offerings across Europe and Africa through mergers and acquisitions (M&A) remains as strong as ever, with the company currently engaged in live talks, at various stages with multiple targets, and on the lookout for further, Dunsdon told Mergermarket in April. She relayed that talks are progressing steadily, and Adapt IT hopes to deploy some capital on M&A before year end and expects more deals to follow next year and beyond.

“We wanted to continue, but this time it comes with the benefit of the

global best practices and the depth of resources,” she said, as acquisitive growth continues to be a fundamental strategy and core to Adapt IT’s DNA following Volaris’ 2022 takeover, adding that Adapt IT would seek to replicate Volaris’ buy-and-hold model.

The company targets the bigger markets in Africa like South Africa, Kenya, Nigeria and Egypt as well as the Middle East, Dunsdon detailed, with no limit to the geographic or vertical niche that firm could consider - rather the focus is on the targets’ quality, software niches, specialisation

and strength than their domain.

“We continuously disrupt our own products and solutions to ensure that our portfolio meets the needs of our clients,” Dunsdon concludes, as Adapt IT toasts its listing among South Africa’s favourite IT service providers for the country’s business decision-makers, according to MyBroadband’s latest pivotal corporate IT brand survey

“We will continue to enhance our solution portfolio and ensure strategic alignment between the market needs and our offerings.”

ADAPT IT www.enterprise-africa.net / 19
WWW.ADAPTIT.COM

Mould-Breaking Mintek Celebrates 90 Years

PRODUCTION: Eleanor Sarbutt-King

The Mintek@90 Conference in November will celebrate the major achievements of South Africa’s world-renowned mineral research and innovation business. Since 1943, Mintek has been pioneering and innovating to advance the way the mining and minerals industry works. Prof. Indresan Govender, Group Executive: Mineral Processing and Characterisation, talks to Enterprise Africa about historic success, current projects, and future ambitions.

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MINTEK

INDUSTRY FOCUS: MINING

//South Africa’s Mintek is a world leader in the research and development of the minerals industry. When it comes to extracting from the ground, processing, adding value, and understanding detailed metallurgical innovation, there are not many around the world who can match Mintek’s research and testing capability.

Over the years, the company has revolutionised the way gold and platinum is processed, developing a uniform system for application across various mining sites, putting South Africa on the map.

Key in the company’s success is its extensive experience and knowledge, developed over years at the industry’s forefront. A melting pot of science, technology, academic, mining, research, and skills from a

range of spheres, Mintek is preparing to celebrate nine decades of success.

In November, the company will host a conference - Mintek@90 – in collaboration with the Southern African Institute of Mining and Metallurgy (SAIMM) and the Department of Minerals and Energy, heralding the impact of Mintek while serving as an opportunity to look forward.

“We have big plans,” Group Executive: Mineral Processing and Characterisation, Prof. Indresan Govender tells Enterprise Africa

“It is to bring together industry partners and academic partners, both local and international, to help us celebrate 90 years. A lot of the event will be around telling the story of Mintek and the huge success we have had over the years. It is also an opportunity to bring industry partners together so

they can talk to each other and identify the common issues and strategic directions they are looking to take.”

EST. 1934

Backed by the South African government, Mintek’s value to the country has never been in doubt. Helping local and international partners to achieve their goals in turn helps the country to drive GDP. Currently, mining and minerals contributes around 8% of the country’s GDP, estimated at more than R200 billion. The stats are also important across Africa where mining is responsible for around 4.5% of continental GDP.

Through the last 90 years, Mintek has always been an innovator and has delivered knowledge that is sparsely found anywhere else.

“We do a lot of research with

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// IF THE ELEMENTS ARE FOUND ON THE PERIODIC TABLE, MINTEK KNOWS HOW TO PROCESS THOSE INTO A CONCENTRATE THAT CAN BE USED FOR MANUFACTURING PRODUCTS //

local and international mining houses that operate across the full minerals value chain,” explains Govender.

“Whenever something arrives at the surface, all of the processing of that, right up to the manufacturing of products from those minerals, Mintek is involved in the research,” he clarifies.

“If the elements are found on the periodic table, Mintek knows how to process those into a concentrate that can be used for manufacturing products. It could be iron, platinum, gold, copper or anything else.”

After starting up in 1934, the company boomed in the 1970s when its work in platinum group metals (PGMs) gained it worldwide notoriety. “Mintek found a solution that revolutionised the processing of platinum and it moved SA to the number one spot in terms of platinum production. Part of what we are doing at Mintek@90 is to quantify what that has meant for SA. We are talking about an excess of hundreds of billions of dollars,” Govender adds.

Since 1994, Mintek has operated as a Section 3B company, partially funded by the state but also able to generate its own revenue across a range of activities. This structure has been successful for the business and the country, but could potentially be changed in the future as Mintek aspirations are truly continental.

“It’s safe to say that, of all the state-owned entities in SA, Mintek is an exception. We are profitable,” smiles Govender. “We have a strong reputation in industry, and as a research organisation across the value chain that we cover, we are a leader in the world. There is not another organisation on the planet that can handle the full range of research activity, right up the higher technology readiness levels (TRL).”

Because of this advanced and extensive skillset, the company has been able to navigate several challenging macroeconomic periods in South Africa, always appealing to clients for knowledge and ability that improves efficiency. Govender highlights the Mintek relationship with industry, aware that results are essential for progress.

“It is a strong relationship and that is based only on a business case. We have to convince that we add value and business pays us to utilise that. Our aim going forward is to try and reduce our dependence on State support as we know that in many instances we can operate as a purely private entity.”

NOVEL APPROACHES

Currently, Mintek is engaged in projects for local and international mining houses researching the potential for extending the life of mines. Finding the more difficult deposits, extracting them effectively, and processing the materials when standard mining operations are no longer suitable is an exciting challenge for Mintek. Underground mining has a reputation as a dangerous activity and traditional open pit surface mining is also beset with environmental and sustainability concerns. New

technologies and ideas are required for mining to continue successfully, and Mintek’s research underpins the concepts being developed right now.

“A lot of the easy-to-find, highly concentrated iron ore has been depleted,” confirms Govender, adding that the company is now busy with extension projects across many minerals.

“Generally, you start mining with a rich ore body but after many decades you need to tap into resources that are sparsely populated and you need new and novel approaches to extract value.

“There are deposits that remain, but they are deep within the earth, in complex forms. Mintek is developing process solutions for that with the aim of extending the life of mine by two or three decades. Without those solutions, mining companies

Continues on page 26

MINTEK www.enterprise-africa.net / 23

EMBRACE THE FUTURE OF BUSINESS

Are you prepared to embrace the future of business with agile, scalable ICT strategies?

UNLOCKING YOUR FULL POTENTIAL

Unlocking limitless potential, Khanya Africa Networks partners with Huawei Enterprise to revolutionize your business through cutting-edge ICT solutions. Together, we deliver seamless integration, innovative technologies, and unparalleled support, empowering your organization to thrive in South Africa’s digital landscape. From enhancing operational efficiency to driving exponential growth, trust Khanya Africa Networks and Huawei Enterprise to propel your business into the future.

In the dynamic landscape of Research, Development, and Innovation (RDI), the need for robust infrastructure is paramount. Mintek, a global leader in mineral and metallurgical innovation in South Africa, recognized this imperative and embarked on a transformative journey to elevate its network capabilities to global standards. Khanya Africa Networks emerged as the trusted partner to realize this vision, delivering a comprehensive solution tailored to Mintek’s strategic goals.

INGENUITY FOR A BRIGHT FUTURE.

STATE-OF-THE-ART TECHNOLOGY

The collaboration between Mintek and Khanya Africa Networks culminated in the successful execution for the supply, installation, and maintenance of LAN Network and Wireless infrastructure over a three-year period. Leveraging state-of-the-art technology from Huawei, Khanya Africa Networks implemented a solution that not only met Mintek’s immediate needs but also laid the foundation for a world-class RDI infrastructure.

At the heart of the project lay Mintek’s strategic objective. With this goal in mind, Khanya Africa Networks undertook the comprehensive network upgrade aimed at enhancing reliability, performance, and security while enabling future technologies such as the Internet of Things (IoT) and artificial intelligence (AI).

The successful implementation of the LAN Network and Wireless infrastructure project for Mintek underscores Khanya Africa Networks’ unwavering commitment to excellence, innovation, and partnership. Through meticulous planning, execution, and ongoing support from Khanya Africa Networks. Khanya Africa Networks are paving the way for a future defined by technological prowess and groundbreaking discoveries with the assistance and support from global OEM Leaders such as Huawei.

Khanya Africa Network was established in 1995 and is an ICT services company that has become known for delivering integrated business solutions to their clients. Level 1 BBBEE contributor with a 50-person strong operation, made up of experienced technicians, attentive salespeople and a highly efficient admin team, Khanya Africa Networks stands ready to launch your business into the future with a range of IT tangibles.

From infrastructure to data networks, broadband, wireless communications and ICT support services, each one of our offerings are carefully considered and designed to complement your business. Khanya Africa Networks is based in all nine provinces to deliver continued excellence to existing and new clients.

“Collaborating with Mintek, a global leader in mineral and metallurgical innovation, was a

privilege. Our LAN Network and Wireless infrastructure project showcases our commitment to quality and innovation in delivering

tailored ICT solutions.”

MAHLULELI NOMTYALA

Managing Director, Khanya Africa Networks

Contact us today to explore how our tailored solutions can propel your organization forward Let’s partner to build the future together www.khanyaafrica.co.za

INDUSTRY FOCUS: MINING

Continued from page 23

would have to stop iron ore mining in a profitable way within the next decade. Mintek has partnered with key role players to do everything to bring these solutions to fruition.”

At the same time, Mintek has set up pilot facilities for strategic industry partners in the titanium industry, investigating advances in furnace technology. The company is busy with critical battery minerals, testing flow sheets through piloting. “It’s all about how many kgs per ton of material processed can you produce. If those solutions are deemed viable then the industry partner would implement at scale and then pay us a royalty,” says Govender, adding that optimisation of costing models helps keep the business sustainable in the longer-term.

Extractive metallurgy is also being researched heavily as Mintek clients look for ways to improve

efficiency through the deployment of fresh ideas. One concept involves using leaching solutions at scale –both chemical and biological – to improve gold extraction, an industry in which SA remains a world-leader.

“We also work in testing, design and optimisation of units for processing operations. For example, we are working on tumbling mills for breaking rocks. We help industry partners to design and optimise that for particular types of ore. We are currently busy with two projects like this, one for a local partner and one for an international partner,” says Govender.

INTELLIGENT BEHAVIOUR

In recent years, human-free mining operations have moved closer. The safety concerns in deeper, older, more complicated mine infrastructure have fuelled a drive for mining led by machines. Again, Mintek is leading the research in terms of

deployable technology and the processes that will allow this new generation of mining to begin.

For Govender, a Professor with more than 20 years of experience in fundamental research from the University of Cape Town and the University of KwaZulu-Natal, this type of project is very appealing.

“We thrive in turning good ideas, models and insights that are at least possible at the pilot stage into going concerns. In order to achieve that, you have to have piloting facilities and in this regard we are the strongest. We have accrued piloting facilities over the last decades that place us in a unique position where if something emerges from a university, the only place to test it and optimise is Mintek,” he states.

Whether mining coal, gold, or diamonds, taking people out of harms way and reducing the operating cost of a site will have commercial benefits for the mining house. Some argue that

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autonomous mining could be more sustainable in the long-term because of drastically improved efficiency.

“We are right at the front of things and we are fully engaged with the notion of autonomous mining, using AI driven robots. We are partnering with companies from Silicon Valley that are keen on autonomous mining,” Govender reveals. “The economic assessment against the technology suggests that within the next 10-15 years mining will go completely autonomous and we will not need people in mines. That is a politically charges debate in the African context. This is where getting in on the ground very early is important,

equipping politicians to be a part of that journey so that they can equip people to not be left behind, retaining and upskilling local communities and the general workforce to be a valuable contributor to that process. That process is underway, you can join the journey or watch it from afar.”

Mintek is working with a team of US-based partners as the main research partner in Africa to drive the rollout and technology development of the autonomous mining robots, starting in SA and then moving across the continent.

“These are AI driven robots, but the key ingredient is data,” warns

// PART OF WHAT WE ARE DOING AT MINTEK@90 IS TO QUANTIFY WHAT THAT HAS MEANT FOR SA. WE ARE TALKING ABOUT AN EXCESS OF HUNDREDS OF BILLIONS OF DOLLARS //

Govender. “If you have no data you can drop the word ‘intelligence’ from AI. If you have lots of data then you can start to approximate something that behaves intelligently. Mintek is going to facilitate the gathering and input of data into these robots, and we must embed mineral processing intelligence into the AI algorithms as well.

“Our partners are good at building robots but not good at mineral processing. If they want the robots to perform strongly in the mining space, they cannot escape partnering with people who understand mineral process and has access to lot of data.”

SECONDARY VALUE

South Africa was and is built on mining and the land underneath many of the modern towns and cities is compared to Swiss cheese by Govender, with abandoned or closed mine shafts rooting down into the earth. For Mintek, these old shafts

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INDUSTRY FOCUS: MINING

represent another opportunity for the deployment of modern technology to extract value from what might have previously been thought of as an obsolete operational site. Mintek research confirms that by using robotic mining and processing, reducing the risk of harm to humans completely, old mine shafts can offer up value.

“We are trying to facilitate mining in those closed or abandoned shafts, where secondary processing could extract value in a shaft that had been previously considered to have no value left because technology was not there at the time,” he explains, adding that no other organisation as the experience and knowledge scope to perform such research. “That seems to hold a huge untapped market. The shafts are not easily accessed by people, in fact legally you should not have humans going into the shafts. In the SA context, we have

illegal mining taking place extensively. We plan to deploy autonomous robots to go into the shafts and do the work.”

Obviously, the fear in this regard comes around the potential of job losses as miners are replaced with technology. But, again, Mintek is researching the possibility of creating new opportunities surrounding any autonomous down-shaft endeavour.

“Depending on how successful that is, we can set up small scale focused mineral processing plants in those catchment areas that are populated traditionally by impoverished communities. The idea is to empower them to own the whole processing operation and that is a noble aspiration. It seems currently that it is a way to create jobs and economic prosperity while employing robots in a place that would otherwise have had nothing.”

Importantly, these advances are

not way off in the distant future, beyond the horizon. The ideas and innovations have been developed, the technology exists, and the rollout could come in the next few years. “The due diligence has been done,” says Govender. “Overall, the cost benefit, moral obligation, and political value all comes together to make a good business case.”

This is not the only sustainability strategy that the company is researching. Tailings dumps –seemingly waste material left over or abandoned when a mine is closed – are littered across SA, and it has become increasingly obvious in recent years that tailings can still hold significant minerals reserves. In the past, lacking processing capability has resulted in tailings dumps being completely discarded and often become environmental hazards. Mintek believes there are opportunities to treat tailings

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and exploit the value that remains.

“We are looking at using secondary mineral processing to extract from waste. It has the dual benefit of rehabilitating that areas by not leaving it with a legacy dump that could potentially be a disaster waiting to happen,” details Govender.

// THESE ARE AI DRIVEN ROBOTS, BUT THE KEY INGREDIENT IS DATA. IF YOU HAVE NO DATA YOU CAN DROP THE WORD ‘INTELLIGENCE’ FROM AI //

“Extracting value and leaving it in more structurally stable position that you found it is something that Mintek is trying to do as much we can. We are partnering with big companies to ensure that sustainable solutions are derived from tailings dams. Our business is truly diverse.”

600 employees, with a strong percentage of Masters and PhD students from around the world, make for an organisational ethos of learning and excellence. While much has changed since the establishment of the Minerals Research Laboratory in 1934, the culture of innovation remains.

“We have just embarked on a new 2030 strategy. A lot of that is about repositioning Mintek as a leading research organisation by having the top skills in the problems and projects that we tackle. That has been our biggest

achievement of the last five years – we have really intelligent people employed. The diversity there is quite extensive and exceptional,” says Govender.

Today, Mintek operates in 45 countries, across more than 150 mining sites, with instruments and control systems allowing remote connection from South Africa.

At Mintek@90, the success of the past will be promoted, but Govender and team will certainly have eyes on the future, hoping to open conversations with industry and clients about how Mintek’s offering can be tailored for the changing minerals landscape of the next century.

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WWW.MINTEK.CO.ZA

Holistic, Integrated Growth Strategy Targets Increased Market Share

Southey Contracting is a longstanding partner to South Africa’s industrial and engineering industries. Providing scaffolding and access solutions, insulation, corrosion protection, fireproofing, asbestos removal, high pressure cleaning and more, the company has become a go-to partner for the petrochemical, mining, energy, and other industries. New Divisional Managing Director in Gauteng, Viloshini Pillay, is tasked with building up market share. She tells Enterprise Africa more about growth through a fusion of technology and people.

PRODUCTION: Jamie Waters
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SOUTHEY CONTRACTING

INDUSTRY FOCUS: INDUSTRIAL & ENGINEERING

//In 2016, Southey Contracting – one of the country’s leading multi-disciplinary industrial engineering firms – was on a strong growth path, achieving results by investing in its people. This strategy positioned Southey as a true frontrunner because of a universal focus on quality.

Divisional Managing Director at the time, John Humby, told Enterprise Africa: “The group prides itself on service delivery, fantastic safety records and superior training of staff.”

But the pandemic of 2020 and the resultant slowdown in site activity put a damper on aspirations. With several projects being cancelled or put on hold, and the industry was forced to consolidate.

Southey Contracting has a long and enduring history, and effective management saw the business navigate through a challenging period with relative success. Today,

the company employs people across the country and provides access solutions and scaffolding, cold and hot insulation, corrosion protection and fireproofing, high pressure cleaning and asbestos removal services within several industries.

As of December 2023, Viloshini Pillay took over the reins as Divisional Managing Director. She looks after operations in Gauteng, with experienced industry veteran Rob Ross taking care of Cape Town and KZN through the Coastal Division.

For both, the target is clear for the short and medium term: Growth through increased market share.

“We have a comprehensive offering and that places us in a very strong competitive position,” says Pillay. “We are certainly looking to increase our market share, and we are exploring various means of doing so, but the industry we play in is quite challenging.

“We have a very robust approach

// WE LOOK FOR MORE INNOVATIVE WAYS OF DOING THINGS AND WE TRY AND LOOK AT WHAT OUR CUSTOMER NEEDS AND HOW BEST TO DELIVER THAT //

to solving our client’s needs,” she adds. “The Southey management structure allows us the freedom to exercise our entrepreneurial creativity and encourages us to expand our service offerings through technological advancements and diversification. We are continuously looking for more innovative ways of doing things as we strive to exceed our customer needs. That is the key to our business – a satisfied customer.”

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EXPERIENCE & RANGE

Southey Contracting is operational across multiple industry sectors. Important contributors are petrochemical, power generation, mining, and paper and pulp industries. The company intends to increase its footprint within these industries as well as diversify into other related industries.

The company is part of the wider Southey Holdings Group which boasts operations across sub-Saharan Africa. At the very deepest level, quality and safety are the key drivers of the business. Whether it’s high atop scaffolding towers, inside boilers, or covering large industrial infrastructure with corrosion protection, Southey has the capability. These tasks are not ‘standard industrial processes’ and cannot be carried out by anyone.

are in place, and the industry has stringent compliance requirements to ensure the job is done safely and to the highest quality standards.

With a limited number of companies able to handle the stringent regulations, Southey sees the potential to recover any market share that might have been lost over the past four years.

“We would like to see our industry become more technologically advanced,” says Pillay. “We still operate in an industry that is not at cutting edge when it comes to technology. We are proponents of technology doing things more efficiently, especially in the construction industry. In terms of the contracting we do, the way in which we become more profitable is to do things more efficiently and effectively. If we can find solutions to

us and the client. This is a view around how to achieve growth and expanded market share that Rob and I share.

“I am passionate about growing the business,” she continues, “and that means increasing our market share, bringing on new clients, and diversifying our service offerings. Anyone in my position should want to ensure job security for their people. That is my goal at this stage and, ultimately, that is achieved by increasing our shareholders’ returns. It is a tough industry at the moment so growth and security are number one priorities.”

PEOPLE POWERED

To deliver complex industrial engineering solutions to clients at international quality standards, people development and upskilling is essential. Pillay is a seasoned

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+27 (0)31 573 5000 info.dbn@pkf.co.za | pkf.co.za Audit. Tax. Advisory. PKF Durban

INDUSTRY FOCUS: INDUSTRIAL & ENGINEERING

qualified chartered accountant having worked in the industry since for 18 years, with operational experience on national mega projects.

“I was operationally responsible for insulation and scaffolding contracts at the Medupi Power Station. That was my introduction to operations. I’ve never been a typical accountant so I jumped at the opportunity and have not looked back since. That experience cemented my preference for being operationally involved. The project exposure I got was invaluable,” she recalls.

When she joined Southey in 2018, she headed up business development which included overseeing the company’s integrated management systems (IMS), B-BBEE compliance, training and development and operational support.

“Effective industrial relations is

critical to a company’s operational success – being a labour-intensive company and it is key for us to ensure that we maintain well-structured labour systems and processes.

“In my previous role, managing both the IMS and training and development functions,” she says. “I tried to marry those functions and internally we now have a Continuous Development Programme for our employees. Developmental topics and training material is identified through our IMS statistics and trends as well as external audit findings. We have our own internal trainers and we can provide short educational programmes with the team almost immediately.”

Across Southey Contracting’s core operations such as industrial coatings, scaffolding, asbestos removal, insulation, there is not always easy

access to certified, accredited training programmes. “If you need a Quantity Surveyor, you can pick out of the universities and other higher education institutions. Scaffolding, painting, and insulation – it’s a different ballgame.

“Typically, it is the responsibility of the private sector to find ways of addressing skills shortages within its industry, and in most instances upskilling employees from an unskilled base,” says Pillay. “The training and development is generally modular and there are several international qualifications which are not accredited in South Africa by the relevant training authorities. This means that we are unable to get crucial SETA funding to carry out the required skills training which in turn severely limits the number of employees that we can train. We need more accredited courses to upskill

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© Southey Contracting

Ofentse Industrial Suppliers Pty Ltd is a black woman owned company, level1. We provide fabrication and machining. Electrical, plumbing and general construction. Supply of double and heavy duty toggle jaw crusher parts, valves and motors.

Ofentse Fuel Division

Ofentse Fuel division is a petroleum centered company that facilitates in the procurement, distribution and delivery of petroleum products across South Africa and neighboring countries.

The company operate across multi-industry sector and that is where we see future growth to increase our clients, profit and market share.

The company endeavor to be sustainable and continuous improvement.

people, and that is always a challenge.”

Another hurdle faced head on by Southey is maintenance of a sterling B-BBEE certificate. A Level 1 B-BBEE contributor and a company that continues to invest in people to uplift, Southey Contracting regularly develops future leaders, supporting innovation and entrepreneurialism – a key focus for Southey at group level.

“It is something I am proud of,” says Pillay. “Our equity, management structures, skills development, and community programmes all come together under a strong, integrated BBBEE programme that has seen us successfully retain our Level 1 certification.

“Across all of our Contracting divisions, we carry out a well-structured Supplier Development program. Supplier beneficiaries meeting the

required criteria are identified within our existing supply chain. These beneficiaries are then invited to apply to join the development program. A detailed GAP analysis is undertaken with each beneficiary and key interventions are identified to assist in ensuring that these small businesses are equipped with the necessary tools and resources to improve their sustainability.”

ALWAYS CHALLENGING

While Southey has been successful navigating the challenges it encounters, there are underlying macro issues that the company cannot escape and so Pillay and team are always working hard to steer the business in the right direction.

“It’s the construction industry – it’s challenging overall,” says Pillay. “But our team is resilient and dedicated.”

Digitising is the obvious solution for many industries looking to improve efficiencies, but it’s not that simple for Southey Contracting. The heavily regulated industries in which the company plays values safety above all, and introducing digital solutions takes longer.

For Pillay, the goal is clear: Grasp every opportunity, and claim market share to become the undisputed industry leader.

“Our major focal point right now is growing our footprint. We want to grow through innovation, and this remains our main focus,” she concludes.

SOUTHEY CONTRACTING www.enterprise-africa.net / 35
SOUTHEYCONTRACTING.COM
© Southey Contracting
013 656 3439 / 082 554 0818 ofentse.industrialsupply@gmail.com

HUBBLE ENERGY

Technology Trailblazers Expanding Globally

PRODUCTION: Jamie Waters

Energetic entrepreneur Marius Vincent founded Hubble Energy to help advance the challenging energy industry in South Africa. The company’s unique battery systems are original and imagined for local operations. He tells Enterprise Africa about impressive growth and ongoing development that have powered the company to the cutting edge.

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INDUSTRY FOCUS: ENERGY

//Enabling South Africa’s boundless solar energy industry is a challenge that few could embrace head on. While the sun shines for 2500 hours on average each year, the market for taking advantage of this renewable resource is complicated. Installers, wholesalers, importers, equipment companies, connections to the grid – there’s many moving parts and most move in different directions. Combine this with an unreliable grid that fails businesses regularly, and with no sign of improving anytime soon, and there is a hot topic for those in energy. Keeping the lights on while being sustainable has, seemingly, been

unachievable until relatively recently.

In 2020, industry veteran Marius Vincent started a business focused on batteries and associated technology to answer a call from the market for a reliable battery system that can connect seamlessly into solar installations. Hubble Energy was born and set off introducing innovation that was missing.

“I have always been in the power industry,” Vincent tells Enterprise Africa. “I was in uninterrupted power supply (UPS) before solar panels became popular. I saw the opportunity when lithium was in its infancy. Lead-acid doesn’t last with loadshedding. You need three days to charge and float

the battery correctly. When lithium was released, it solved a lot of problems for enterprise in South Africa and the batteries are designed to charge in one or two hours without degrading. I left my job and started Hubble and that was just before Covid. I thought if I didn’t take the chance, I would never know. That was very exciting. I was working out of my house and I grew the company from scratch.”

Hubble Energy supplies advanced energy storage solutions capable of powering homes, businesses, or commercial spaces. What separates the company from the rest is its South African heritage. The company was established in South Africa

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to solve South African problems, using South African skills. Vincent is clear that local research and development capability, from local engineers, gives Hubble an edge.

“We have done a lot of designs for our own batteries,” he says. “We have a lot of our own IP, and we have created energy management system (EMS) software. We have inhouse coders, software development, marketing, and more. We create a product from the ground up, and we use OEM third parties for manufacturing to our spec.”

This approach has meant quick expansion for Hubble, realising material year-on-year growth in just four years. Product development has been swift and now the company boasts a range across low voltage, high voltage, commercial and industrial, and larger showcase projects.

Currently over 55 staff strategically placed in major metropolitan towns serve the country nationwide. Vincent is busy expanding the team across all disciplines to keep up with demand, but his key focus is to remain at the sharp end of the market, driving innovation and searching for the next pioneering advancement that can bring step-change for clients.

“We are always on the front foot with development and we are always looking to understand what the market wants, or could want,” he says, adding that they are investing in further expansion in Port Elizabeth and Durban.

// WE ARE ALWAYS ON THE FRONT FOOT WITH DEVELOPMENT AND WE ARE ALWAYS LOOKING TO UNDERSTAND WHAT THE MARKET WANTS, OR COULD WANT//

PROVEN SOLUTIONS

Case studies for the work of Hubble are strong. At Lebone Litho Printers in Johannesburg, loadshedding was interrupting printing schedules causing a headache for the leading specialist printer. The company opted for a solar installation to mitigate, putting approximately 2000 panels on the roof with eight inverters. Hubble was called on to deliver high voltage batteries and support infrastructure to bring the system together. Now, Lebone Litho receives reliable energy, at a good price, in a fully intelligent system.

Similarly, at a luxury game lodge in the Kruger National Park – The Outpost – a solar installation was chosen to fulfil sustainable energy

HUBBLE ENERGY

requirements. Hubble’s high voltage battery system again provided the perfect solution, storing large amounts of energy, powering 100% of the lodge’s energy needs after just seven hours charging in the sun of the country’s flagship park.

At the Cerebos salt factory in Port Elizabeth, a solar installation was essential in combating the escalating energy cost and intermittent supply for this nationally relevant manufacturing business. Hubble’s high voltage solutions were deployed across a large system to smooth energy supply in peaks and troughs, especially through the winter periods where typical energy pricing increases. Here, Hubble opted for a new development – a

Marius Vincent, CEO
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INDUSTRY FOCUS: ENERGY

bespoke system with high efficiency, ease of installation, and strong safety and reliability credentials.

For Hubble, researching to find resolutions to unique problems and engineering solutions is second nature. This natural problemsolving ethos has helped the product range to grow and the reputation to cross borders.

“We are expanding into energy storage systems which are large, containerised products for more than 1MW,” reveals Vincent, adding that the internally developed Hubble Cloudlink monitoring software makes remote deployment much easier.

“We work mostly in South Africa, but we do have customers that purchase from us and then

// WE ARE BUSY DEVELOPING A NEW PRODUCT WHICH IS VERY EXCITING. IT’S AN INNOVATIVE TECHNOLOGY THAT FEATURES AI AND IOT INTEGRATION AND WE ARE VERY EXCITED ABOUT THAT //

export across borders. We have sold into Tanzania, Botswana, Zimbabwe, Namibia, and we are looking at Mauritius where we have a great product that we are working on for yachts.

“We are in discussions with distributors in sub-Saharan Africa, and beyond right now, and we are looking at an international footprint. We have an extremely high level of integration with other inverters. We have approvals from most of the big brands and a lot of our competitors don’t have that. That enables us to expand much faster,” Vincent adds.

EXCELLENT GROWTH

With most rivals in SA behind in terms of technology, and lacking technical

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knowledge, Hubble holds a strong position. A network of support centres, skilled people, and an ongoing care structure gives customers everything required for long-term success.

“We have seen excellent growth since start up,” confirms Vincent. “The market is a little flooded, but we are still doing very well. Hubble is well positioned with resellers, and we have a very strong brand behind us that customers really trust because of our quality.”

This quality is ensured across the supply chain with Vincent and other senior employees vetting inputs at several levels. A vision to be agile, but an unrelenting commitment to superiority, make for a lean operation.

“In the beginning, I wanted the business to be as agile as possible. I didn’t want to go and follow a traditional model, renting warehouses and large premises. We outsourced all of the logistics and warehousing. When our products arrive in the country, we do quality checks before it goes into third party warehousing. Our customers can then collect direct from the logistics partner. It’s better from a security perspective as batteries remain a hot commodity in SA,” he says of the supply chain, where Rhenus Logistics provides a comprehensive service.

Between 2023 and 2028, the solar industry is expected to grow at around 32%. In just over one year, between 2022 and 2023, the country’s rooftop solar capacity grew by 349% with five times as many batteries being imported compared to the same period 12 months previously. Clearly, the market is there for Hubble and Vincent is confident about growth prospects despite a weak macroeconomic environment.

“The demand has always been there as the price of electricity in SA has been going up exponentially, and there is no end in sight. It’s cheaper to bond a solar system and pay it off monthly than pay the utility. The rental models make a lot of sense,” he says.

“Driving expansion and being at the cutting-edge of technology is my passion. We have already expanded our R&D team significantly and building on our current technology is very exciting for me. By focussing on the tech, we will always continue with expansion.”

In the near future, significant innovation will be announced as new technology is launched to the market that will make storage, balancing, and managing of energy systems even more efficient. The company is committed to R&D and has really big things in the pipeline,” Vincent smiles.

“We are busy developing a new product which is very exciting. It’s an innovative technology that features AI and IoT integration and we are very excited about that.”

South Africa’s energy transition has barely begun but Hubble Energy has

positioned itself as an industry leader. The government has encouraged solar uptake as much as possible. Businesses are keen on protecting themselves against loadshedding, and even when others meander and change direction, Hubble has proven itself to be committed to a strong strategy, providing long-term certainty for clients. Keep an eye on this exciting young energy business as it continues to shape alternative advanced energy storage.

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HUBBLE ENERGY
WWW.HUBBLEENERGY.COM

COLLIES GROUP

Historic Collies Focused on Future Growth

PRODUCTION: Eleanor Sarbutt-King

The Collies Group has overhauled the building blocks behind its growth, searching for a new period of sustainable expansion. Importantly, the culture in the business remains robust, and this is where MD Roland Hansen draws strength. He tells Enterprise Africa more about developments underway for this exciting manufacturing expert.

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African business thrived with an open and free economic backdrop.

But recent years have been a drastically different picture from the years of consistent growth when the country was the gateway to Africa for the world. Now, slow investor confidence and weak economic performance are fuelled by a number of macroeconomic issues. For Hansen, the pandemic, the 2021 KZN riots, and the 2022 floods that devastated the region are the latest pulls in a difficult time.

“It has been a challenging period globally. Covid impacted us quite a bit as people had to work from home and they didn’t need uniforms. We had to change tact and we started manufacturing PPE to help wherever we could. We are in KZN and we had riots which impacted the business. We then had floods and that added to a very challenging period.”

But during the challenging times, Collies regrouped, reassessed and reestablished the foundations behind its success. In 2020, Hansen took the reins as MD and was keen on a rebrand

and a re-strategisation. Using the group’s strength in existing markets, Hansen would focus on creating a culture of excellence to grow across new industries. He communicated with the entire team and ensured senior managers were bought into the vision of a business built around respect, honesty, and integrity.

“We have come up with the concept of the Collies Group Tribe – and what does it mean to be a member of that tribe,” says Hansen, who has been in the business for 23 years.

“My focus has been on empowering our staff, mentoring them, and allowing them to thrive in the specific area of responsibility. I want to support them as they grow rather that dictate to them how they should work. I am enjoying it and people are responding very well when given the opportunity to shine.

“Our focus is very much on our

people,” he adds. “We believe if we get the right people in place and get them doing the right things, then the business will take care of itself. Our internal strategy works with the metaphor of the business being like a bus. We have been working towards changing what our bus looks like – looking at the people who are on the bus, rebranding, and seeing how it moves. If we get everything right, we think it will move forward fast. We are now shifting from an internal strategy to an external

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COLLIES GROUP

INDUSTRY FOCUS: MANUFACTURING

// WE HAVE LAUNCHED A NEW CHEF-WEAR RANGE THIS YEAR. THAT IS SOMETHING WE
NEVER HAD IN THE PAST AND THAT IS STARTING TO GAIN TRACTION IN THE MARKET //

perspective – how do we expand in the market and win new business.”

To date, this approach has proved successful with a number of tenders for previous contracts retaken and many new customers coming to the company with new requests for innovation.

“We have put a big fresh emphasis on corporate governance, reestablishing the building blocks of growth as the global economy picks up again. We certainly see a lot of green shoots starting to reappear and we believe the market is turning, which is positive,” says Hansen.

PRODUCT DEVELOPMENT

Through its history, Collies has been a frontrunner in originality, with a

strong focus on quality and excellent service. When it comes to the look and the function of products, there has always been a flexible approach from the team as they look to act as an extension of client’s businesses, delivering exactly what is required. It’s this approach that led to the development of the Collies Group statement, ‘We take direction [from our clients] to lead the way [in what we do]’. Through 2023 and 2024, the group has been busy with several new developments, across all divisions, with the aim of capitalising on every opportunity.

“We are finding that post Covid, people are coming back to work and people are asking their employers for

something fresh after wearing the same things for a number of years,” says Hansen. “There is a lot of design work going on at the moment, and the banks that we serve are approving their final ranges which we will launch soon.

“We have launched a new chefwear range this year. That is something we never had in the past and that is starting to gain traction in the market, certainly in the hospitality space where we are doing more business with hotels.

“We have been working extensively on product development,” he adds. “Going back 15 years, corporate wear was very traditional, but we are seeing a massive shift with people wanting to be more fashionable and they want more choice in terms of the wardrobe they have. We have been bringing the fashion part of our business more in the corporate space to change that. That has been exciting to contribute to moving the market in a different direction.”

The Rolando division sells into the wholesale market and has been popular for many years under the

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name Colmart. The rebrand to Rolando was launched as Collies sponsored the Hillcrest Marathon, with models sporting various new pieces at the finish line. This type of marketing has helped to bring traction to the brand.

“It’s all about reimaging in the market to build marketing around that product,” says Hansen of the division that bears his name. “We see massive growth in the wholesale division, and we are well set to gain more market share against the two larger players in the country.”

BIG PROJECTS

Behind the scenes, to support future growth plans, multiple projects have just been completed to ensure seamless operations. A new ERP system is in the process of being rolled out to integrate finances, marketing, HR, and production. The company has also renovated its office building to offer a more exciting and positive atmosphere for staff.

At the same time, energy efficiency has been in the spotlight and a number of upgrades have been put in place to improve consumption figures and reduce reliance on the municipal resources.

“All of our sites have generators,” says Hansen, and the company is looking at solar at the moment. “We don’t believe we would be able to provide power to take our factory totally off grid, but we certainly could help smooth our requirements.”

New types of lighting, LED bulbs, and other improvements have resulted in a 25% reduction in overall power usage.

At the manufacturing facility in Tongaat, a new borehole has been installed following floods which ruined regional water infrastructure. Now, the company has no requirement for municipal water and has even been able to support the local community with emergency supplies. “You always have to adapt and change,” says Hansen.

All of this work will fuel the growth of the business, allowing

www.afristar.biz

for it to continue doing what it has done so well for so long –assisting clients in the creation and maintenance of a brand, nurturing a culture, and building a family.

“We would like to cement ourselves in the corporate wear space,” confirms Hansen. “We have noticed that, especially with banking clients, we are pioneers in the way that we service them. But you can only be a pioneer for so long before people start to copy you so from a product perspective we will be exploring different directions.

“I think there is a lot of opportunity in the hospitality industry for us to grow and we would like to become one of the stronger suppliers over the next five years.

“We are finding that a lot of corporates that we deal with here in SA are expanding their operations

into Africa and that is where a lot of our continental growth comes from. We haven’t actively been going out and trying to get business in those markets but it is certainly growing for us,” he concludes.

Even through challenges, business continues to come together nicely for Collies. All industries, all customers, and – importantly – all employees are delighted with the success of the group. With the new foundations in place to support a new phase of growth, the future looks extremely bright for this historic South African manufacturer.

COLLIES GROUP www.enterprise-africa.net / 47
info@afristar.biz Proud Logistics Partner of the Collies Group Air, Road & Sea Freight Warehousing & Supply Chain IT Solutions & Tracking
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New Growth to Fuel Ongoing Success of Globally Renowned SA Winery

PRODUCTION: Jamie Waters

“The quality lies in the second half of the bottle,” insists Marc Kent, Technical Director at Boekenhoutskloof Winery. The award-winning business is home to the supremely popular Chocolate Block, a wine that continues to fly the flag for SA wine across international markets. Kent tells Enterprise Africa more about the journey from 6000 bottles in the beginning to more than six million bottles today.

48 / www.enterprise-africa.net
BOEKENHOUTSKLOOF

INDUSTRY FOCUS: WINE

Marc

//When Marc Kent, Technical Director at Boekenhoutskloof Winery, started his three-decade long career in South Africa’s wine industry, he had no idea where the grapes of the Western Cape would take him.

Boekenhoutskloof is a multi-property award-winning winemaking business located across Swartland, Stellenbosch, Franschhoek and Hermanus.

Sky high ambitions saw Kent aim to become a pilot. He was selected to join an exclusive training program with the South African Air Force, completing his national service before setting sights on Europe. “I was waiting tables at a restaurant outside of Cape Town and I began to realise a passion for wine,” he tells Enterprise Africa. “I knew nothing about the industry. I am originally from the southern Natal coast – beer and whisky country. However, I managed to sell more

Chardonnay than any other waiter in the country, and the family that owned the business – the Finlaysons – invited me to the vineyard. I had never been to a vineyard before and I was blown away – that is where it all started.”

This happy accident was complemented by Kent’s hard work and entrepreneurial spirit. The Finlaysons offered him a chance to pour at a wine show and loved the work ethic. They encouraged him to join the industry officially, and he enrolled at Elsenburg Agricultural College.

“I had no idea what that was about, but I started in what was quite an exciting time in 1994,” he remembers. “During my undergrad study, I had the opportunity to become an apprenticeship at La Motte in Franschhoek. Fortuitously, some friends had purchased Boekenhoutskloof which had been a vineyard since 1776, and they approached Jacques Borman – the winemaker at La Motte

– to consult for them. He could not but he gave them my details. I started in December 1994 under Tim Rands, and we have still have the seven original shareholders in the business today. It’s been an incredible journey.”

PREMIUM BRANDS

Kent oversees all operations of the business from land management and vineyard care through to marketing and sales. He has developed a deep understanding of the industry, the agriculture, and the region. His focus is on high quality, premium wines – showcasing South Africa as an alternative to the traditional markets of the world that are well-known and well-sipped by international buyers in developed markets.

Today, Boekenhoutskloof owns four important South African brands: Boekenhoutskloof, The Wolftrap, Porcupine Ridge, and The Chocolate Block. A Syrah specialist, the company takes carefully selected grapes from various sites to blend unique wines packed with flavour.

The business is anchored by the Chocolate Block, a full-bodied red with grapes from one of the world’s best Syrah vineyards. This wine is hugely popular in export markets, particularly the UK. Exports, says Kent, is where the business will continue to grow, putting South Africa on the map.

“We are a premium wine business, all going into glass with distribution in 60 markets worldwide.

// WE WILL ALWAYS CONTINUE LOOKING AFTER CHOCOLATE BLOCK AS IT IS WITHOUT DOUBT THE MOST SUCCESSFUL PREMIUM BRAND OUT OF SOUTH AFRICA //
50 / www.enterprise-africa.net

“We will always continue looking after Chocolate Block as it is without doubt the most successful premium brand out of South Africa. How we continue to grow that and support it, with sufficient fruit and facilities, to maintain overall quality will be our focus.”

With good coverage in markets around the world, Kent believes instead of aggressively tapping new regions, the way forward is to further build brand recognition, positioning the company – particularly Chocolate Block – as a first-class offering.

“We are strong in grocers – that is how we grew the business - but that is not really our channel, and we are going more premium now - high end retail and direct to consumer.

“It’s one of the few South African brands that is no longer seen as South African – it’s international and people buy into that.”

GROWING BUSINESS

One of the fundamental steps in developing and nurturing a premium

brand out of South Africa is by dreaming big, as Kent has always done. He cites Penfolds of Australia and Jackson Family Wines of California as premium brands that have created mutually beneficial relationships with their region and with global markets.

“South Africa lacks large operations,” he says. “It’s nice as an industry for South Africa to be recognised as a consistent, reliable producer of quality wine but it remains off the radar for many wine drinkers. It’s not the nation of choice for wine drinkers in the States or Canada or elsewhere. They simply don’t buy into the SA proposition, they have little understanding of Africa, and we have been stagnant for nearly 15 years in the US market with little or no growth.”

By bringing a brand like the Chocolate Block to the market, Boekenhoutskloof is demonstrating exactly what South Africa is capable of at the top end, and this opens doors for all in the industry.

“We think if you’re making good or great wine, we think the market is

big enough for everyone. Our focus is looking at competitors abroad. South Africa is heavily dependent on the UK market, good or bad, as well as the Dutch, German, and Belgium markets.

“I admire the biggest businesses in America or Australia because they have successfully presented their amazing products to the world, even at the premium end. We lack that. We do have some amazing wine producers who wave the flag for the country, but we don’t have a business that says: ‘here is SA, we are meaningful on global scale’. We hope to move in that direction.”

EXPANSION PLANS

To further support the company’s international ambition, and solidify position in markets around the world as the go-to South African premium brand, Kent and team have recently purchased new land to plant out. New varietals will grow but the tried and tested Syrah vines will also take some of the new capacity.

“Chocolate Block’s current release is 1.2 million bottles with a

BOEKENHOUTSKLOOF www.enterprise-africa.net / 51
Inside Boekenhoutskloof Barrel Maturation Cellar

INDUSTRY FOCUS: WINE

weighted average selling price of around €10. It’s a nice business that has grown well. The market still has an appetite for more product but it’s not Coca Cola – we are governed by agricultural cycles. Our investment in the vineyards is to support the market appetite for the product,” he says.

The business is busy building a new head office in Stellenbosch to centralise administrative duties across agriculture and sales, and Kent is actively looking for more sites across Swartland where Boekenhoutskloof already has 250 hectares under vine. Despite living in Portugal, he is in the field in the Western Cape once a month ensuring his fixation on quality is deep-rooted.

“Product development is ongoing,” he says. “We are in four different regions – the Hemel en Arden Valley, which is the area with the biggest return per 750ml bottle, home of Chardonnay and Pinot Noir in South Africa. That has never really been our thing as we have been mostly a Syrah and Pinotage

business, mostly in Swartland and Stellenbosch and Franschhoek, but we are now in Pinot and Chardonnay after buying up land in 2016. Those young vineyards are coming into production for a brand that is doing particularly well called Cap Maritime. We are also expecting to build a new facility near Walker Bay, outside Hermanus, towards the end of the year, when we get the planning authorisations.”

The Western Cape’s soil is often described second to none. The different microclimates, the hot sun, the cold rain, the mountainous ups and downs, and a history of winemaking that goes back more than three and a half centuries make for a region that has all the options for a modern wine offering. The varied and diverse profiles across the region are home to a range of topographies including sandstone, granite, and shale. The cool breezes coming in from the Atlantic and Indian oceans contribute to consistent and high-quality vine performance.

“Our challenge, with our diverse

offering – albeit premium – is how we package Boekenhoutskloof and its brands for a global market,” Kent states.

To generate a larger local market for Boekenhoutskloof products, Kent has long been a supporter of local tourism. He says that collaboration across the wider hospitality industry is a must for those around wine centres in South Africa, and has done much to bring people into and around the region.

“I have been very involved in gastro tourism in Franschhoek and I was, for many years, the chairman of a local vineyards organisation, integral in merging our various tourism groups into one – the Franschhoek Wine Valley & Tourism Association It is now a hugely successful model which is much copied and envied worldwide. Franschhoek is an incredible destination and we were able to get all the tourism players all under one umbrella organisation,” he explains.

“Our industry has nominal support from government. A lot of the countries we compete with

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have big, generic bodies with huge support from the EU or individual governments. As such, we must do all we can to showcase South Africa as a destination and attract wine tourism.”

QUALITY FOCUSED

Being nimble is a key ingredient in the Boekenhoutskloof recipe for success. The company is very different from the early days when Kent arrived with nothing but a fridge and a hi-fi. Adapting to market conditions, embracing change, and planning for the long-term have helped the company to navigate macro issues that have derailed some in the industry.

“The challenges in South Africa are well documented but not unique - corruption, no power etc. South Africa is an incredible country with very resilient people,” he says. “It is a country of opportunity if you are entrepreneurial. I was involved for many years in a successful vineyard in the south if France, but the bureaucracy is tough. Even in Portugal, it’s challenging. In SA, there’s a lot more flexibility and if you are agile things can happen quickly. That’s not specific to wine – developed nations, especially in Europe can be quite bureaucratic.”

By adopting a fluid approach to each season, this pioneering business has been able to grow significantly. More land, more markets, and –importantly – more customers are the result of an unerring focus on quality produce. Kent is confident that you cannot grow from nothing to worldwide brand without always searching for superiority.

“We have always been quality focused and we have never made decisions based on spreadsheets,” he smiles. “Our selection process is critical across all levels and when we blend a wine we don’t say ‘we need 70 bottles’. We look at what we have on the table and decide what will line up best in the bottle. We don’t compromise or cut corners. Follow the quality and the margin will come – that

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is how we run our wine business.”

By following this strategy, Boekenhoutskloof has registered itself as a top tier wine business – desired by retailers around the world. And this doesn’t come from expensive marketing campaigns or constant drives for industry accolades. Word of mouth is a powerful tool.

“Our route to market has been quite different,” admits Kent. “When I started more than 25 years ago, it was a time of shows and competitions, but we didn’t go down that route. We have always said that quality lies in the second half of the bottle, and we managed to grow from 6000 bottles in 1996 to six or seven million bottles today with really good third-party endorsement. We get great advocacy, and we overdeliver in the bottle.”

The sweet success of the

Chocolate Block continues to showcase South Africa and Boekenhoutskloof at international level. Flying high above the vineyards of the Western Cape, soaring beyond the peaks of the Hottentots-Holland Mountains, as home to a top premium brand exported out of the country, this individual and unique wine business continues to create opportunities and demonstrate what is possible.

“The wine industry has been very good to me,” concludes Kent, as he plans for the next 30 years of Boekenhoutskloof brand dominance.

BOEKENHOUTSKLOOF www.enterprise-africa.net / 53
BOEKENHOUTSKLOOF.CO.ZA

AVIS SOUTH AFRICA

Driving Change in SA Mobility

PRODUCTION: Tommy Atkinson

Always innovating, introducing more tools for customers to enjoy the offerings from Avis around southern Africa, the company continues to reinvent itself to best serve values clients. Rewarding loyalty, investing in stock, providing seamless service – all of these factors have helped the company to achieve outstanding results in a highly competitive market.

//As one of the country’s leading brands in the car rental space, Avis South Africa takes its position in the driving seat very seriously. The company has been at the front of the pack for decades and has traversed the ups and downs of the South African economy

with success with relative ease.

The Avis brand history goes back to 1946 in the USA when a three-car operation opened at Detroit Airport. Fast forward 21 years and Zeda Car Rental and Tours was established in Bloemfontein in 1976 before being acquired and changing

brand to Avis Rent a Car in 1969. From there, the business boomed as South Africa become known as the gateway to Africa and tourism offered international travellers something simply unavailable elsewhere.

Expansion beyond borders was welcomed and the company went

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INDUSTRY FOCUS: AUTOMOTIVE

through different owners including Servgro and Barloworld. But in 2022, Barloworld unbundled Avis Southern Africa, paving the way for the formation of Zeda Ltd. The new holdings company took on the license for the Avis brand across South African and sub-Saharan Africa with the purpose of ‘connecting humanity’. Now, Avis SA is home to more than 1100 people and a fleet of more than 18,000 vehicles.

During the 2020 pandemic, the journey was undoubtedly tough. CEO Ramasela Ganda, now Group CEO at Zeda, told Enterprise Africa that the company adjusted strategy quickly and made tough calls to keep things moving. Thanks to the important decisions made then, Avis has come out of the pandemic in top gear.

Several new initiatives are underway to help this booming local business to grow further.

The return of international

travellers has allowed the company to accelerate quickly, and a focus on alternative ownership models have also proved popular as many drives now opt for leasing over buying outright.

iLEASE

At the end of 2023, Avis Fleet launched its new iLease offering, allowing customers to choose a lease deal as an alternative to full ownership over a period of 12 – 48 months. Included in the pricing is access to top range vehicles, insurance, maintenance, assistance, and administration.

The company labels the concept a shift to ‘car usership’ rather than outdated ‘car ownership’ which is expensive and risky.

Ultimately, this offering serves a growing need for convenience from users and follows trends already established in other markets around the world.

“iLease is an important milestone for us in leading the charge towards a usership economy in South Africa,” Ganda said at a recent event. “This product offering recognises that mobility is evolving, and today more than ever is redefining the way people move, connect and experience life individually. Additionally, the consumer behaviour of millennials, who are more open to new concepts, makes this an opportune time for Avis iLease to revolutionise the South African automotive landscape.”

Avis can source cars from most international brands and can offer anything from small hatch back to large bakkie. In South Africa, there remains a prestige linked to car ownership and many see status of being able to buy a car outright as a symbol of success. But the associated ongoing

Continues on page 58

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We Deliver Exceptional Products and Services and have a National footprint.

EFFICIENT, EFFECTIVE, ENERGY DRIVEN

• Vehicle Cleaning

• Office Cleaning

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Our clients include:

TRADING (011) 492 2347 info@mmtrading.co.za 41 Shelton Avenue, Harmelia, Germiston, Johannesburg
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INDUSTRY FOCUS: AUTOMOTIVE

Continued from page 56

costs are prohibitive and escalate quickly. Leasing helps to spread the cost and allows for longer-term planning over finances. For Avis, the benefit is building a book of

// CUSTOMERS WANT INSTANT ACCESS TO BENEFITS AND RELEVANT REWARDS, WHICH IS WHAT WE ARE GIVING THEM WITH THIS SUPERCHARGED AVIS PREFERRED PROGRAMME //

customers that can benefit from the famed Avis customer service and driving loyalty through a model that is more than one single transaction.

PREFERRED

In March 2024, the Avis Budget Group boosted its loyalty programme, Avis Preferred, adding new perks and financial benefits for customers that rent cars regularly.

All-new for 2024, the company is able to offer returning customers significant rewards for their loyalty including seamless customer service and a range of extras from relevant partners. At collection, customers can bypass queues and use a self-service kiosk to pick up keys instantly on arrival. New customers can gain 10% of future rentals immediately after sign up, those renting frequently can get upgrades in terms of the car they

choose and the number of people able to drive the car, and airport lounge passes and priority passes can be purchased with large discounts. This, say the company, is all about making the entire travel experience smooth, with Avis at the heart of the voyage.

“Since Avis Preferred launched in South Africa to reward our regular customers, we have constantly looked to innovate the loyalty programme and are proud to be bringing these great new benefits to our Avis Preferred members,” said, Chief Sales Executive, Litha Nkombisa.

“Feedback from research that was conducted by (ABG) suggests that people are put off by rewards being inaccessible if they don’t rent frequently enough. Customers want instant access to benefits and relevant rewards, which is what we are giving them with this supercharged

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AVIS SOUTH AFRICA

Avis Preferred programme.”

This is just the latest in a series of positive moves from the company after it released, in November 2023, a strong set of annual results a year on from listing on the JSE.

A 12% increase in revenue, 18% rise in EBITDA and a 23% increase in operating profit made nice reading for investors in the company’s first full reporting year under Zeda.

UNWAVERING COMMITMENT

The rental business was particularly important in these results and Ganda was keen to reinforce the message that the company’s strategy around a wider mobility offering above simple car leasing was paying off.

“These results are a testament to our unwavering commitment to delivering exceptional value to our customers and shareholders.

Our strategic focus on enhancing operational efficiency and expanding our service offerings has positioned us well in a competitive market,” she said

“At the heart of our strategic approach is a deep investment in technology. By prioritising automation and digitisation, we’re not just streamlining our operations but we’re also paving the way for innovation in the usership economy. This technological advancement is key to adapting to the evolving needs of our customers and significantly enhancing their experience with us,” she added.

Ganda also highlighted the company’s Level 1 BBBEE status and strong ratings from Moody’s in terms of national and international credit. In January 2024, Avis also received several high scoring ratings from customer groups and industry surveys relating to quality of service and standards.

Clearly, Avis Southern Africa is operating as a well-oiled machine, perfectly supported by Zeda, fuelled by the energy of dedicated staff and navigated by a strong leadership team which is highly experienced and creative.

With international tourist arrivals set to increase over the next five years, and the local leasing industry expected to boom before the end of the decade, Avis is perfectly positioned to maintain its lead over competitors and its focus on exceptional customer service.

“Whether you embark on a business odyssey, a family escapade, or a solo sojourn, choose Avis and Budget for a car rental experience that transcends the ordinary,” the company says.

www.enterprise-africa.net / 59
WWW.AVIS.CO.ZA

Proudly Placed to Alter

the SA Rail Industry

PRODUCTION: Eleanor Sarbutt-King

Its primary business in the provision of rail transport of commodities for the export, regional and domestic markets, Transnet Freight Rail represents the largest operating division of Transnet, the biggest and most crucial part of the freight logistics chain that delivers goods to each and every South African.

60 / www.enterprise-africa.net TRANSNET FREIGHT RAIL

INDUSTRY FOCUS: LOGISTICS

//In addition to transporting a broad range of bulk general freight commodities and containerised freight, Transnet Freight Rail (TFR) operates South Africa’s world-class heavy haul coal and iron ore export lines, and is currently

// THE DIVISION MAINTAINS A COMPLEX RAIL NETWORK OF 31,000 TRACK KILOMETRES OVER WHICH COMMODITIES ARE RAILED //

developing the manganese export corridor to heavy haul standards.

“The division maintains a complex rail network of approximately 31,000 track kilometres, or 20,900 route km, over which commodities are railed,” TFR details of its critical task.

This diverse and distinctive rail network comprises over 1,000 km of heavy haul lines, as well as nearly 4,000 km of branch lines that serve as feeders to main lines. “The rail network service provides strategic links between ports, terminals and production hubs providing connectivity with Southern African railways to support regional integration,” TFR explains.

“Infrastructure connectivity, coupled with close co-operation with other Operating Divisions and

collaboration with key customers, enables the delivery of freight volumes across value chains,” it adds, having pioneered a vertically integrated, and commercially separated, railway which operationally integrates with Transnet Ports, Port Terminals, Pipelines and Rail Engineering facilities to decentralise key responsibilities and ensure a more responsive rail freight network, better equipped to service the South African economy.

RICHARDS BAY RAMP-UP

An injection of locomotives in the Port of Richards Bay over recent months has propelled the number of GF-class coal trains from 21 to 28

Continues on page 64

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Liebherr-Africa (Pty.) Limited Vlakfontein Road, Springs 1560 Phone: +27 11 365 2000 E-mail: LAF-Maritime-Sales@liebherr.com Website: www.liebherr.com

INDUSTRY FOCUS: LOGISTICS

Continued from page 62

a week, drastically reducing truck loads and migrating volume from road to rail. “All Transnet customers that were road hauling to the port of Richards Bay at the time were

// TRANSNET CONTINUES TO IMPLEMENT RECOVERY INITIATIVES TO DELIVER RELIABLE, INTEGRATED, AND SEAMLESS PORT AND RAIL SOLUTIONS //

identified and approached directly to indicate interest in participating in a test train service,” TFR explains.

“As of 31 March 2024, the test train initiative had seen TFR moving 106,000 tons from road to rail whilst removing approximately 3,100 truckloads from the roads,” continues Theo Johnson, Acting Managing Executive on the North Corridor. “To date seven customers, a majority of whom were 100% on road before, have been tested. The process to test the remaining customers is ongoing, subject to available capacity on a week-by-week basis.”

The increase is the latest positive development after the coal export conveyor belt, which had been out of service for two years due to fire damage, came back into full

operation at Richards Bay terminals. Commissioned at the end of December after rigorous tests were carried out successfully, it is has served to take more than 400 trucks off the road.

The ramp-up formed one central aspect of Transnet’s overarching Recovery Plan initiatives, instituted in October last year. The rail operating division had experienced the most significant decline in an overall operational underperformance and decrease in volumes, to the extent that the sustainability of the organisation was threatened.

RECOVERY SIGNS

A two-pronged approach resulted, with the development of a recovery plan targeting either optimisation

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and enhancement or transformation of the business. “We place a deep focus on the recovery of volumes from key operations and ODs across the organisation, as well as the improved execution of the segment strategy approach to drive commercial returns across operations,” Transnet detailed of the first priority, with its work at Richard’s Bay embodying its commitment to stabilising and improving the operational performance of the freight rail network in this manner.

“On the transformation side, we are actively reviewing and reinventing part of the organisation to meet the requirements for sustainable growth in the future, and will seek alignment to the Roadmap for the Freight Logistics

System,” it added, this latter document aiming to address the serious challenges in the industry and setting out to reform the logistics system in the long-term.

Transnet rightly toasted the tangible proof of the recovery plan’s efficacy, in upbeat mood as rail volumes began to show clear signs of recovery in the last quarter of 2023. The quarterly performance rate of delivery to the Richards Bay Coal Terminal (RBCT) increased from 47,10 million tons in the third quarter to 48,74 million tons in the fourth, while TFR’s North Corridor, which handles an estimated 41% of total TFR volumes and supports key commodity sectors including export coal and chrome, was able to improve RBCT Export Coal volumes to in excess of one million tons by December 2023.

“The widely reported challenges with security, locomotive availability & reliability and network reliability have hampered TFR’s performance on this corridor in the last few years, and management is implementing a number of initiatives to ensure operational improvements,” TFR commented. “Transnet continues to implement recovery initiatives in partnership with the National Logistics Crisis Committee (NLCC) and other stakeholders in line with its mandate to deliver reliable, integrated, and seamless port and rail solutions.”

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TRANSNET FREIGHT RAIL
WWW.TRANSNET.NET

EXHIBITION CALENDAR

KEY UPCOMING EVENTS ACROSS THE REGION

IMPORTANT EVENTS AND EXHIBITIONS TAKING PLACE ACROSS SUB-SAHARAN AFRICA, GIVING BRANDS A PLATFORM TO TELL THEIR STORY.

MAY 31 GOOD LIFE SHOW

MAY

31-JUN 2 | CAPE TOWN

AFRICA’S

PREMIER FOOD, DRINK & SUSTAINABLE LIVING EVENT

With the ever-increasing global demand and interest in healthier, more sustainable way of living The Plant Powered Show has fast become one of the most successful food and lifestyle events on the South African exhibition calendar and has, naturally, grown into three new shows. The Good Life Show will now host four dynamic events under one roof, giving visitors access to all of them with one ticket: The Plant Powered Show [Africa’s premier plant-based food, drink & conscious living event], Natural & Organic Show [Powered by Nature], The Free-from Show [Embrace the alternatives] AND SustainEx [Live and love the sustainable life]. The Good Life Show is aimed at anyone with an interest in food, health, wellness, and the environment who is looking to live more consciously. The show is also open to trade, including the retail, hospitality sectors and to local distributors and exporters, and will appeal to any industry that is looking for innovative, high-quality products.

JUN 11

FACILITIES MANAGEMENT EXPO JOHANNESBURG

JUN 11-13

| JOHANNESBURG

The “Facilities Management Expo,” often abbreviated as “FM Expo,” is a trade fair specializing in products and services in the field of facility management. It provides a central platform for leading South African providers to showcase their latest developments and solutions. Held annually at the Gallagher Convention Centre in Johannesburg, a vibrant economic hub of South Africa, the expo organized by the Montgomery Group attracts a wide range of industry professionals and experts. It serves as a regular opportunity to stay informed about current trends and advancements in facility management. The expo covers a variety of areas including construction and building equipment, energy efficiency, fire protection and safety, as well as technologies in space planning and telecommunications. The exhibited products and services range from security solutions to innovative technologies in facility management.

JUN

25

AFRICA AGRI TECH JUN 25-27 | PRETORIA

The Africa Agri Tech Conference and Exhibition focuses on the intersection between agriculture, science and technology connecting the Southern African agricultural, scientific and technology communities at one event staged over three days. The event aims to deliver premium insights, coupled with best-in-class presenters and industry-leading exhibitors exploring global trends, advances and innovations in agricultural science and technology.

GOOD LIFE SHOW CAPE TOWN | MAY 31-JUN 2

AFRICAN CONSTRUCTION EXPO JOHANNESBURG | JUN 4-6

LAGOS MOTOR FAIR LAGOS, NIGERIA | JUN 4-7

HOTEL AND HOSPITALITY SHOW JOHANNESBURG | JUN 11-13

FACILITIES MANAGEMENT EXPO JOHANNESBURG | JUN 11-13

AFRICA AGRI TECH PRETORIA | JUN 25 -27

KENYA TRADE SHOW NAIROBI | JUL 12 -14

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MAY
JUL
31 JUN 4 JUN 4 JUN 11 JUN 11 JUN 25
12

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