How would you describe the state that Omnia was in when you were appointed CEO in September 2019?
The company was in a precarious situation, as a number of issues had converged to create the perfect storm. In prior years, Omnia had undergone significant expansion through acquisitions funded by debt. When cash flows declined on the back of a suppressed economic environment and a drought-stricken agriculture sector last year, we forecast that we needed to make drastic changes to meet our debt obligations and were hence forced to obtain a R6,8 billion bridging loan while our team and I addressed how best to stabilise the balance sheet. This resulted in a R2 billion rights issue and negotiation of R4,8 billion structured debt facilities. In parallel, we executed a turnaround plan, reducing cost, working capital and capital expenditure significantly. While we’ve made good progress in our turnaround plan, there’s still a lot of hard work to do over the next few years, which will generate more value.
How have you experienced your first months as CEO at the company?
In the 2019 PricewaterhouseCoopers’ Global Crisis Survey, respondents listed liquidity issues, technological failure, and operational disruption as the top three most disruptive crises that businesses faced or were worried about. At Omnia, we had to manage all three within 12 months: a liquidity problem, which led to a rights issue and debt restructure; load-shedding, which disrupted operations, followed by a ransomware cyberattack; and the COVID-19 pandemic, which has disrupted global supply chains and changed the way business is conducted worldwide.
Denne historien er fra August 14, 2020-utgaven av Farmer's Weekly.
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Denne historien er fra August 14, 2020-utgaven av Farmer's Weekly.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent? Logg på
New farmers' seedling pitfalls
Inexperienced farmers may be tempted to grow seedlings from seed themselves, but they have much to gain by trusting a seedling grower at a nursery to perform this task for them instead
South African avocado production: a success story
Avocado production in South Africa has expanded markedly since the industry's humble beginnings over 80 years ago. From a small grove planted in 1938 in what was then Nelspruit, the industry has blossomed to seven million trees planted on 20 000ha. Dr Guy Witney, project manager at Great Brak Avos, spoke to Annelie Coleman about the country's avocado production.
Unlocking value through livestock exports
Exporting livestock might sound like a daunting business that's better left for big companies, but Gerrie Ferreira, who farms near Oudtshoorn in the Western Cape, has been doing it successfully for almost 30 years, sometimes in partnership with other breeders. He spoke to Glenneis Kriel about the huge potential this market holds, and offers some advice for farmers who are contemplating going this route.
An agribusiness's dedication to community upliftment
For agribusiness NWK, located in Lichtenburg, North West, corporate social investment is an important part of creating a positive influence alongside financial returns. Johan Bezuidenhout, NWK’s group manager of corporate marketing and communication, spoke to Annelie Coleman about why the company chooses to invest millions of rands in the area it operates in every year.
Empowering dreams, transforming lives
Since its launch in 2013, the Agri's Got Talent competition has revolutionised the lives of many farmworkers by unlocking their hidden talents and fostering a culture of empowerment. Glenneis Kriel spoke to various finalists about how the contest has changed their lives.
Foreign investment: agriculture maintains its appeal
South Africa remains a popular destination for foreign investors, despite an often negative outlook from its citizens. It is a gateway to Africa, and with its counterseasonal production to the Northern Hemisphere and favourable weather, local agriculture is especially well placed to attract foreign interest, bringing with it hope for rural communities
The real value and message of COP29 for SA agriculture
While the 2024 Conference of the Parties may have disappointed those who hoped for real progress, it's more important for South African agriculture to highlight its role in carbon mitigation
Improving efficiencies in feed and grain milling
Bühler, a Swiss-based company that provides solutions and equipment for various industries, including food and animal feed processing, has pledged that by 2025, it will deliver scalable solutions that will reduce energy, waste and water by 50% in the value chains of its customers.
Tips for better olive production
At an SA Olive Association field day in November, industry experts shared ways to improve olive production efficiencies, from soil preparation to harvesting.
More effort needed to protect vulnerable cheetah
On International Cheetah Day, commemorated every year on 4 December, emphasis was placed on the vulnerability of the species.
