After nine years of strong growth, telecommunications specialist, TeleMasters, listed on the JSE AltX yesterday. The opening shares traded at R1.62.
“The Cellular LCR (Least Cost Routing) industry is maturing rapidly and is ready for consolidation. TeleMasters will be at the forefront of this process and intends to secure a larger part of the market,” says TeleMasters CEO Mario Pretorius.
“Moving forward, we're looking to gain the critical mass needed to acquire and implement our new technologies. We also intend to spread the ownership of the company to staff and dealers. In addition, the listing will make the company more transparent and will raise its public profile – this is important in ensuring that the brand is trusted and its offerings relied upon by clients”, he states.
TeleMasters' total share placement is privately held; the 42m shares in issue are valued at 50c each. Operational profit for the year to 31 March 2007 is forecast at R7,2-million and is expected to expand to R7,7-million for the year to 31 March 2008.
TeleMasters is a specialist LCR solution provider, and has built its market presence through a focus on cutting costs in all technical and logistical environments. The company was the innovator of the Savings Guarantee on corporate clients’ monthly expenses and is recognised as a market leader in systems, logistics and data analysis applications.
Currently one of the fastest-growing GSM router companies in South Africa, TeleMasters was established in 1995, with Eskom Megawatt Park as its first contract, which is still in operation. After nine years of operation it has accumulated 2500 clients. It is staffed by 26 employees and supported by a network of 106 active dealers, reinforcing strong reach across South Africa.
“Aside from pioneering the Savings Guarantee, we have also launched other market innovations such as Router Farms,” adds Pretorius. “This is where a clients’ private virtual network is used to carry calls form all locations to a single LCR site. In combination with our quality supplier and distributor relationships, these innovations have seen the company perform consistently well over a sustained time.”
TeleMasters enjoys close development relationships with a number of suppliers and distributors. The company's technical expertise on PABX systems stems from its close co-operation with major (and most minor) PABX vendors, who represent TeleMasters on a dealer basis.