| Mon 12 Nov 2001, 0:00 | | Digicore Europe Scores Largest Export Deal |
|
Share code : DGC
ISIN : ZAE000016945
CENTURION - JSE-listed fleet management and information technology company,
DigiCore Holdings Limited, announced today the largest export order ever
from their European subsidiary, DigiCore Europe.
"Transport companies and fleet owners are increasingly taking advantage of
the solutions offered by fleet management companies in improving
profitability and efficiency by focusing on their core business," states
Nick Vlok, executive deputy chairman of DigiCore Holdings Ltd.
Dutch construction company, Hulsink, realised the value proposition offered
by DigiCore Europe, placing an order for 550 C-Track units at 1 350 Euro per
unit. When converted to the Rand (Rand 8,57 = Euro 1,00), this transaction
amounts to approximately R6,363 million and after the first successful phase
of implementation, the order could be increased to as high as R15 million.
BAM Infratechniek bv, of which Hulsink, Hulsink de Roo, and De Ruiter are
subsidiary companies, is a dominant player within the construction industry,
concentrating on groundwork infrastructure and overground installation.
Their activities include the installation of cables and wiring, drilling,
environmental technology, design and engineering. With a proud trading
history of over 140 years, the company has an impressive workforce of
approximately 1 200 employees.
"There has been a steady build-up in orders from Europe. Where we shipped
approximately 2 500 units during the past two years (1999 - 2000), DigiCore
Europe has already forecasted 7 500 C-Track unit sales for the next
financial year. With the depreciation of the local currency, our exports are
becoming an increasing component of revenue, with offshore earnings now
accounting for 50% of turnover excluding tenders.
Given the growing business opportunities in Europe, DigiCore Holdings
elected to acquire a 50% stake in DigiCore Europe, previously named C-Track
Europe, in July this year. To support their offshore operations, IT
Director, Kevin Stanton, was recently re-assigned to the offshore office to
oversee its expansion and customer interaction.
In mature markets such as Europe, fleet owners are focusing on cost
reductions, improved customer service levels, compliance with new
legislation, and are adopting information technology systems to achieve
these objectives.
"Achieving sustainable, profitable growth in Europe rests on our success in
becoming one of the primary providers of fleet management services and
information," states Vlok.
"Key to distinguishing ourselves from competitors in the international
market, is the maintenance of service excellence and superior products. As a
result, DigiCore places great emphasis on the research and development of
more competitive products in meeting market demand for value added,
flexible, feature-rich, cost efficient technology," Vlok concludes.
ENDS
For more information contact
Mr Nick Vlok
Executive Deputy Chairman
DIGICORE HOLDINGS LTD
Tel: 012-665-7300
Fax: 012-665-5376
