It’s been delayed, but a listing on the Singapore stock exchange is still planned for supply chain application provider Conduit.
In 2000 Renaissance Corp, owner of distributor Renaissance and Conduit, announced that it would list Conduit on the Singapore exchange. However, the burst of the high-tech bubble put paid to the plan and in February 2001 Renaissance sold 17% of Conduit to the Development Bank of Singapore.
Conduit chief executive Joanne Hodgson says there were a lot changes in the market last year.
“If you’re looking at [a public share offering], you need to make sure it’s the right time for getting the best return and we’re looking at what’s right in terms of market timing and position.”
John Hayson, Hodgson’s predecessor as Conduit chief executive, told Computerworld last year that costs outstripped revenue in the first half of 2001, but by August the company was “matching outgoings and incomings”.
Renaissance chairman Richard Ebbett said in his end-of-year review for 2001 that Conduit had finished the year strongly.
“In our half-year report, I advised we had scaled back our international initiatives and were re-orienting the business to a more tightly defined model. This strategy has been successful, with the result that a smaller and more tightly focused Conduit traded satisfactorily in the second half year.
“However, at year-end we took the view that the level of Conduit’s intellectual property asset was no longer supported by its earnings expectations and accordingly made a write-down of $1.2 million against this year’s results.”
Hodgson says “things are tracking well” for Conduit. “Based on customer expectations, we’re on track to be profitable by the end of March, for the first quarter of the year.”
Conduit’s clients include Renaissance, Unisys, Australian foodstuffs distributor Bidvest, electronics distributor Monaco and bicycle firm Sheppard Industries.
A bonus last year was acquiring some clients of liquidated Masterpack ERP distributor Tenuteq, Hodgson says. Conduit’s ERP team is also skilled in Masterpack, she says.