Handsome dividend on cards for Motus shareholders
The newly-listed and recently unbundled automotive business cites its high free cash flows as reason for windfall
Motus Holdings, the recently unbundled automotive business of Imperial Holdings, will pay shareholders a handsome dividend because of its high free cash flows, says CEO Osman Arbee. Motus’s unbundling and separate listing on the JSE’s specialty retailers sector, which has been on the cards since 2014, is meant to reduce complexity, duplication and costs. “Our business generates lots of free cash flow. We will be able to pay a nice dividend. We have annuity income streams in the form of our financial services business because that generates cash without hoarding your balance sheet,” Arbee said at the company’s JSE listing on Thursday. Other than financial services, the company’s other businesses are import and distribution, retail and rental, and aftermarket parts. Motus operates in Southern Africa and internationally, primarily through dealerships in the UK and Australia. As at June 30, the company’s share of SA’s retail market was 19.9% it and sells about 100,000 new vehicles a yea...
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