Matsaire told shareholders in the capital on Wednesday, at the company’s AGM, that although TSL was founded on tobacco, its operations should not be confined just to auction floors.
After starting out as the only auction floor in the country, subsidiary TSF had lost its market share after three more players entered the market.
This was at a time when the crop’s output was forecast to be lower. Matsaire said the objective of TSL’s re-alignment exercise was to integrate the value-chain backwards and upwards in an attempt to bring back the lost market share in its various businesses.
“The focus this year is to ensure the group is positioned to take full advantage of opportunities,” Matsaire said.
The group will leverage its strong balance sheet and good gearing position in order to establish sustainable revenue streams in its strategic business units. It has also appointed a chief operating officer to head the group.
“The idea is to create new revenue streams while at the same time effectively managing costs,” Matsaire said.
Bak logistics will be stepping outside of its current model and going beyond warehousing.
The TSL group was currently working with its partners, NamPak, to ensure sustainable viability. TSL controls Chemco Holdings and Hunyani Holdings.