Imperial Holdings: Breaking up is the easy part
Imperial is splitting into two listed entities — but will their potential be turned into reality?
Logistics and automotive industry giant Imperial Holdings has been stuck in a rut since 2011 — its headline earnings and share price have gone nowhere and return on equity has faded from 22.7% to 12.5%. Radical change became imperative. That change is now at hand. Imperial Holdings’ board has finally set in motion the process — first mooted two years ago — that will result in the group being divided into two separately listed independent businesses. These are Imperial Logistics, which operates in 17 European countries and 12 African countries; and Motus, which houses all automotive operations in SA and is fast expanding to the rest of the continent. In the process, due to be executed in the fourth quarter, Motus will be unbundled to Imperial shareholders.
Imperial has lined up experienced executives to lead the two companies. Imperial Logistics will be headed by current Imperial CFO Mohammed Akoojee, who will assume the position of CEO next June when the incumbent, Marius Swan...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.