Cambria anticipates growth

growthBusiness Reporter
ZIMBABWE-focused London Alternative Investment Market-listed Cambria Africa Plc says it is excited about the prospects at Millchem Holdings and PayServe Africa. In a trading update last month, the company said it is now focused on these two units. “As a result of this strategy, the company is now solely focused on Payserv and Millchem, growing their scale and scope, and pursuing their regionalisation.

“A multi-year, regional and product roll-out strategy for both Millchem and Payserv has been developed and Cambria is excited about the return prospects offered by these two investments,” said Cambria.

Cambria added that it anticipates strong organic growth for both investments and may make smaller acquisitions to accelerate their regionalisation strategy.

The company also said it will continue disposing its remaining non-core assets to refocus and reorganise the company.
“Cambria is continuing the disposal of its remaining non-core assets, completion of which will mark the re-alignment away from multiple investments operating in a single country, to a selected number of investments operating regionally.

“It is the board’s conviction this strategy marks the best route towards maximising shareholder value and ensuring continued future growth,” said the company.

Payserv is now processing payments for its first customers in Zambia, following the receipt of a National Payments Licence in the country, an important step for the company.

“It is also rolling out a number of new products such as e-Schedules, PayZIMRA and PayFT.
Cambria said it anticipates growth for both companies in the year ahead, and said it may also make some smaller acquisitions to accelerate the regional expansion.

In 2013, the Payserv and Millchem businesses grew revenues by 10 percent and 6 percent respectively.
Analysts say that even though this rate of growth was again strong, it has slowed somewhat from prior periods over the last two years, Millchem and Payserv almost doubled revenues and gross profits.

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