For the financial period of 2014-2015, Bidvest Namibia has delivered softer trading results due to challenges in both the Fishing and the Food and Distribution divisions. Revenue declined by 4,6% to N$3,5 billion. Trading profit of N$415,6 million was achieved, but is lower than last year’s result of N$85,7 million (17,1%). The main contributor to trading profit remains the Fishing division (83%) despite a decline of 15,1% in profit. The decline was a result of a smaller allocation of horse-mackerel quota in the second allocation of the 2014 calendar year. The exchange rate helped significantly to offset the impact of lower volumes on revenue.
Freight and Logistics performed poorer than expected showing a 18,5% decrease in trading profit, largely due a lack of any major oil and gas projects. Monjasa, the new fuel bunkering business of Manica, performed ahead of expectations. Food and Distribution had disappointing results with trading profit declining by 61,1% to N$9,6 million. Caterplus recorded a significant turnaround but the Taeuber & Corssen (T&C) business declined, mainly as a result of Namib Poultry Industries terminating its distribution agreement with T&C. This action is currently being challenged legally. In addition, certain principals were unable to supply goods on demand, resulting in supply chain shortages.
The Commercial and Industrial Products and Services performed well showing a 21,1% increase in trading profit. Steiner more than doubled its revenue and had a positive influence on the divisional result. Cash generated by operations increased by 28,2% creating further capacity for expansion.
The Fishing division continues to face challenges regarding accessing sufficient horse-mackerel quota to fully utilise its catching capacity. Pressure on prices and availability of horse-mackerel quotas will continue to affect this division. Excess capital in the business is being reduced and the overall activities scaled back. Subsequent to year-end, the Glenryck trademark was purchased which will present opportunities to market additional products. Management have concluded the initial feasibility study to convert the current horse mackerel finding operation to a shore based processing facility.
The board has resolved to proceed with environmental impact assessments and civil and detailed design work. First phase construction will include a jetty at the UFE premises. Strong results are expected from our commercial entities. Freight and Logistics will continue to seek project activity opportunities. The Food and Distribution division is working hard to remedy the poor performance of the past year and will continue its efforts to find innovative ways to replace the loss of the local poultry distribution. Subsequent to year-end, the group acquired Novel Motor Company, an established motor dealership which is the main representative of Ford and the sole representative of Jaguar Land Rover, Volvo and Mazda vehicles in Namibia.
In addition, Bidvest Namibia has obtained a 49% share in Namibia Bureau de Change, further diversifying the activities of the group. Despite disappointing results in most divisions, the Bidvest Namibia team remains positive, motivated and dedicated to finding solutions for the challenges that are being encountered.”
Shareholders of Bidvest Namibia are referred to the circular to Bidvest Namibia Shareholders containing details of a conditional take-over by the Bidvest Group to Bidvest Namibia Shareholders, to acquire all remaining Bidvest shares not owned by the Bidvest Group by way of a take-over scheme (‘offer’). Subsequent to the acceptance of the Delisting Resolution by the requisite majority, the offer has been declared unconditional by the Bidvest Group and has become effective, irrevocable an open for acceptance during the Acceptance Period.
Further to the cautionary announcement released on the Stock Exchange News Service (“NENS”) of the Namibian Stock Exchange (“NSX”) on 12 December 2018, the subsequent renewal of the Cautionary Announcement released on NENS on 23 January 2019 and 1 March 2019 and the announcements released on NENS on 11 April 2019 and 25 April 2019. Shareholders are hereby advised that the requisite majority of Bidvest Namibia shareholders eligible to vote, have approved the delisting. In terms of this passed resolution, the listing of all the Bidvest Namibia Shares of
Bidvest Namibia on the Main Board of the NSX be suspended and terminated with effect from 11 June 2019 or at such times and such dates as will be approved in accordance with the Bank of Namibia and by the NSX
Further to the cautionary announcement released on the Stock Exchange News Service of the Namibian Stock Exchange on 25 April 2019 relating to the circular to shareholders, supplementary information relating to the sum of the parts valuation, culminating in the fair and reasonable valuation range of N$8.95 to N$9.45 as per the E&Y Fair and Reasonable opinion included in the circular, is available on the this website.
Further to the cautionary announcement released on the Stock Exchange News Service of the Namibian Stock Exchange on 12 December 2018, the subsequent renewal of the Cautionary Announcement released on NENS on 23 January 2019 and 1 March 2019 and the announcement released on NENS on 11 April 2019. A combined circular has been issued today by Bidvest Namibia Limited and the Bidvest Group to a conditional Take-over offer in terms of sections 320 – 327 of the Companies Act….