JSE-listed technology group Altech has secured R400 million in new orders, locally and abroad, as it enters its new financial year.
Altech provides telecommunications equipment, multimedia systems, IT solutions, electronic components, cellular telephony and industrial electronic products. The orders include a new customer for digital set-top boxes in India.
Locally, it has secured additional MultiChoice orders on the back of the 2006 PVR roll-out, an asset tracking order for Spoornet, and an emergency service Digital Tetra wireless communication system for the City of Cape Town Metropolitan Council.
Speaking to shareholders yesterday, CEO Craig Venter said: "We have entered the new year not only with the strongest secured pipeline we have ever had, but with significant and prestigious new customers, both locally and internationally."
Its shares closed at R66.50 yesterday, a new 12-month high, and up from Wednesday's close of R66.01. The company's 12-month low is R47.17.
Tip of the iceberg
Venter says the set-top box deal in India is "one of our largest ever, and is taking place in one of the most rapidly developing pay TV markets in the world". The company is confident the initial order received from Sun TV, for 250 000 units, is the tip of a large iceberg.
"Altech UEC has worked hard to open this new market for nearly two years, and their efforts have now been acknowledged with the receipt of this initial order," he says.
Altech Alcom Matomo, which signed the R500 million Gauteng SAPS Digital Tetra emergency wireless communications system two years ago, had been looking to grow on the back of this.
"The experience gained in rolling out the Gauteng SAPS system, the subsequent strengthening of our expertise in this area, uniquely established us to win the Cape Town contract, placing the company well for further growth in the run up to World Cup Soccer 2010," notes Venter.
The same division secured the contract to supply tracking units to satisfy Spoornet's locomotive tracking requirements.
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