Published: 30 September 2013

TRANSPORT and logistics firm Pioneer Corporation Africa is pinning its hopes on newly acquired fellow industry player Unifreight Limited to help double revenue once Government approval of the transactions has been secured.

Pioneer Corporation Africa Mr Patrick Chingoka revealed the group's expectations on the new acquisition after seeing the group's revenue declined by 9 percent to $12,6 million in the six months interim to June 2013.

The purchase of Unifreight is yet to obtain regulatory approvals in line with provisions of the country's indigenisation and economic empowerment laws.

"We are confident that once approval is granted Pioneer Corporation Africa will not only double its revenue but…fully utilise synergies that exist and provide a more complete transport and logistics solution to the market," Mr Chingoka said.

The decline in revenue from $13,5 million to $12,3 million resulted in the ZSE listed group suffering a $1 million interim loss from $656 000 profit.

"Management is however confident that there will be a turnaround in the last quarter of the year and that this loss will be reduced by year end," he said.

The Pioneer Corporation chairman admitted that transport and logistics group had a difficult first six months due to limited liquidity and a challenging environment that prevailed in Zimbabwe during the period under review.

In what reflected little growth in most aspects of the business' operations total assets increased only marginally from $17,8 million to $18,3 million.
- bh24

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