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ACTowers plugs into Eskom

Mar 03 2010 12:18 Marc Hasenfuss

Company Data

Africa Cellular Towers [JSE : ATR]

Last traded R0.04
Change R0.00
% Change 0.00%
Cumulative volume 333,419
Market cap R14.81m

Last Updated: 25/05/2012 at 19:32. Prices are delayed by 15 minutes. Source: McGregor BFA

 

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Johannesburg - AltX-listed Africa Cellular Towers (ACTowers) [JSE:ATR], which has seen its shares plunging over the last nine months, appears to have got its foot in Eskom's door.

On Wednesday ACTowers, which specialises in lattice towers and installations for telecommunication and power sectors, announced a first full turnkey Eskom power line contract.

ACTower chairperson and CEO Chris Kruger said the mandate involved replacing the distribution and transmission line for Eskom Capital Expansion Division (CED) to the Komati Power Station (between Middelburg and Bethal in Mpumalanga).

Kruger said the contract was an important milestone for the company's power lines division (PLD). "This project definitely gives us an opportunity to prove our stated capabilities to Eskom."

ACTowers PLD general manager Nick van der Mescht said the project was more complex than normal. He said it also required a quick turnaround time because late completion would impact other ongoing expansion projects around the power station.

The Eskom project is welcome news for ACTowers, which has undertaken a great chunk of its work in other African countries.

The company took strain in the interim period to end-August 2009 when project work was scarcer and competition intensified.

ACTowers shares were up 4% to 55c on Wednesday in thin mid-morning trade. In June last year ACTowers was trading at 125c on the AltX; it saw an all-time high of 380c in early 2008.

- Fin24.com

 
 
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