Good Morning Stock Pickers,
I felt compelled to write up a few thoughts on my exchange with Afriag Chairman David Lenigas which has drawn in some comments and attention, firstly, and most importantly, its always easy in such cases when at logger heads to stand on the side of people haters or those that already have agendas or personal bias to a situation or the people behind it. David is an extremely pragmatic man with a very long resume so as a consequence there will always be some harbouring life’s disappointments fingering the blame to old Leni.
On this basis I will not be adding fuel to the fire or siding with anyone in this matter. ” I want to be perfectly clear that character assassinations are not me ” However I have a few very important and I believe valid points to raise with DL and the Afriag team.
After a hit the ground running type Q&A last summer here to summarize Afri’s intention was to ” As a management company ” take margin from the logistics chain or in other words the company would take up the contract and subcontract it out leaving the marginal difference for services which means the company didn’t need a great deal of operating capital.
In question 2 we hear a lot about the growth potential and rapid growth, yet in 8 Months we have no evidence of this other than early announced contracts. ”So whats been happening? ” Is it unreasonable to ask this? I suggest not.
On a personal basis I hold shares in Afriag as I believe and like the concept of low risk, margin management in the logistics industry, why? I worked in the industry as well as downstream O&G. I’m aware in the UK that we are heavily regulated in transport so movements orders, hazchem regulation, consignment notes and driving time directives feel like they are coming out of your backside at times.
I’m no expert on SA transport authorities however I believe there is, at worst, a set of driving directives regulated and authorised. It is really of no great consequence other than a management team should simply win the contract, outsource (Sub contract) then record the shipping/movement confirmed, Log it (record it) then work in accordance. Granted this is a layman overview of the trying job some in the global transport industry hold but sitting on your fat arse claiming ”News when I decide ” Or ” I’m waiting on SA telling me to tell you ” (words to that effect) then this is a pretty sad day in my opinion.
Based on my basic understanding of the industry it seems impossible for a company in transport not to know what it has been doing by the minute and hour let alone the month or the quarter.
This leads us the shareholders to procure as much information as physically possible which starts by asking questions. I have no axe to grind with David Lenigas in fact I quite like him, which is why I refute those that try to suck me into or down some path of bashing him. I also believe that the Pan African Logistic concept to be one that not only can survive but flourish in the ever expanding emerging growth markets of Africa.
Through my own opinion and nothing else I conclude I see the likelihood for an increased news flow. Can a company that margin manages have lost heavily when they are in a pretty low risk space ” I doubt it ” thus my own belief is AFRI is on the cusp of announcing something rewarding to its shareholders.
So why the twaddle on twitter? Because some people let the power of acting as gatekeeper lead them to believe they are god!!! ” Sadly this is not the case ” – Now get off your fat fucking arse and do what shareholders expect from you or piss off and find another monkey to the organ grinder.
There are no shortage of dickheads in the world and most work in the transport industry from my own experiences.
P.s I did not ask for inside information ” This is inaccurate and wrong ”