Omnia turnaround strategy stabilises the group’s debt
However, chief executive Seelan Gobalsamy admitted on Tuesday that the group still had a long way to go, despite successfully delivering on its short-term stabilisation plan.
“We wanted to retain the group’s back to basics by cutting costs and return it to profitability. We have also managed to cut the debt by R1.4bn and management remained focused on stabilising the group by initiating a turnaround strategy and improving our capital structure, following a successful rights offer fully underwritten by our shareholders.
“Good progress was also made in terms of reducing costs as well as lowering capital expenditure and working capital requirements,” Gobalsamy said.
In September, Omnia raised R2bn through a rights offer of 100million new ordinary Omnia shares at a subscription price of R20 a rights offer share, fully underwritten by its shareholders.
Source: iol.co.za
