ADC wants new name

By Iain Scott, ITWeb group consulting editor

Johannesburg, 20 Sept 2007

AltX-listed software company Alliance Data Corporation (ADC) has proposed to its shareholders that it change its name to Alliance Mining Corporation.

The company says in a notice to shareholders that the board believes the new name is better suited to the market in which it operates and also reflects the diversity of the business and ADC's target market.

ADC listed in March 2005 as a developer and supplier of software solutions for the mining industry, specialising in human resources, payroll and time and access solutions.

Since then, the company has diversified through a series of acquisitions to provide a range of products and services to the mining industry.

The acquisitions and diversification have paid off, boosting ADC's revenue 650%, to R157.6 million in the year to February, with net profit up 314%, at R20.2 million. At a share price of R5.50 (it listed at R1), the company now has a market capitalisation of about R357 million.

ADC says it has posted a circular to shareholders proposing the name change, with a general meeting scheduled for 16 October. The name change is expected to take effect on 12 November.

The company's share code on the JSE is to change from ACD to ALM on the same date.