Page 33 - issue 25

Business 33

BDC successfully completed its ambitious

5-year transformation strategy

otswana Development Corporation “BDC” Group of companies.
has continued to be an economic force in the • Achieved an investment-grade credit rating of Baa2
BBotswana financial services sector having / Stable by Moody’s Investors Service during (reaffirmed in
delivered impressive returns for the financial year ended September 2019), this making BDC the first local company to
30 June 2019. The Corporation presented to stakeholders achieve such a ranking. The issuer ratings entail a standalone
its results on 05 December 2019 at Cresta Lodge. credit profile of b1, which balances what Moody’s recognises
as a strong company solvency and liquidity position against
In his opening remarks the Acting Managing Director, a high concentration of strategic participation in large equity
Moatlhodi Lekaukau said, “BDC has come full circle investments.
and is successfully positioned for further growth. We • Executed new investments that continued to pioneer
are confident that as the Corporation pursues its next industries, develop untapped sectors for growth with a
strategic period, we will continue to be a driving force focus on export-led production in line with Vision 2036.
making viable contributions to the Botswana economy These include the following ventures in major sectors in the
that steer it to become knowledge-based and export-led, economy:
in line with Vision 2036.” • Agri-business (Milk Afric Dairy Plant, Talana Farms-
Kwenantle Farmers)
“The Corporation’s overall financial performance for the • Automotive Components Manufacturing (Pasdec,
year remained positive and the financial position remains Kromberg & Schubert)
strong with income and asset ratios in good condition. • Health & Services (Sidilega Private Hospital,
Liquidity and capital ratios also remain robust and Francistown Teaching Hospital Academy, Transport Holdings
supportive of the business drive to deliver on strategic Group, Masawara Group)
goals. Interest income was the main contributor to
overall positive performance reflecting a positive “Our journey has been a very rewarding one with many lessons
shift in asset structure from equity-based assets learnt, and most importantly we have delivered strong returns
to more debt-based assets,” said BDC Acting to our shareholder. The Botswana Government’s continued
Managing Director, Mr. Moatlhodi Lekaukau. support of our strategy has been pivotal to our success. It has
been a great pride to serve this nation through investing in
Over the 2014-2019 strategic period, BDC the building of viable Botswana industries for almost 50 years
achieved a number of key milestones: and we are successfully positioned to deepen our impact in
• Returned BDC to profitability with over the Botswana economy,”the Acting Managing Director noted.
P1 billion in cumulative profits.
• Grew the net worth of the business by “With the Beyond 2019 strategy we are confident to continue
P700 million to a record P2.1 billion. on this positive trajectory into the coming periods. We are
• Total Asset Base growth to a record P4.8 thankful to our staff, clients, partners, our shareholders and
billion. wider stakeholders for their continued support.”
• Paid P90 million in dividends to the
Botswana Government over the period we will continue to be a driving
• Transferred P285 million of listed stock
to the Public. P1 billion note programme force making viable contributions
strategic development of local capital markets. to the Botswana economy that
• Transferred businesses and assets worth steer it to become knowledge-
Acting Managing Director, Moatlhodi Lekaukau P340 million to local companies and Batswana.
• Disbursed P1.2 billion towards new projects and based and export-led, in line with
created 1700 new jobs. Over 5,000 jobs sustained across Vision 2036.

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