Summarised audited results
for the 12 months ended 30 June 2021

Imperial is your 'Gateway to Africa'
Imperial is your 'Gateway to Africa'


Strategic positioning and progress

Imperial continues to record significant progress in its strategic journey to transform from a portfolio of regional businesses to an integrated end-to-end market access and logistics business — with the strategic intent of becoming ‘One Imperial’ and a ‘Gateway to Africa’, with committed and well-skilled executive management teams. Top of mind is to ensure that Imperial remains a business of scale, despite significant asset disposals and restructuring, and that both organic and acquisitive growth are prioritised. We continue to navigate the macro‑economic challenges well, with investment in growth and driving digital and innovation being key focus areas.

During the past 12 to 18 months, the strategic actions and decisions we took to reorganise, rationalise, simplify, improve our profitability and competitiveness, strengthen the balance sheet and grow our business has resulted in significant value being unlocked for our key stakeholders.

Despite the challenges that COVID-19 placed on our day-to-day operations, we continued to focus on the following:

  • strengthened our positioning as the ‘Gateway to Africa’ and ‘One Imperial’;
  • simplified and reduced complexity;
  • strengthened our financial position;
  • assessed, addressed and exited non-core, low return on effort and underperforming businesses;
  • reduced cost significantly;
  • added new contracts;
  • concluded strategic acquisitions;
  • changed the organisational structure to operate based on capabilities with focused commercial teams in place;
  • achieved good progress in digital and IT initiatives;
  • defined our path as a transformational organisation rather than a transactional one; and
  • placed significant focus on our people and organisational design and ESG as core enablers of our strategy.

How our strategy addresses our challenges

Strategic progress






Growing the business – focused capital allocation  
  • Solid organic and acquisitive growth.
  • All acquisitions assessed on following criteria:
    • achieving strategic objective of ‘Gateway to Africa’
    • strong organic growth
    • achieve required returns (WACC plus 3%)
    • how Imperial adds value and leverages synergies opportunities
  • Integration, efficiency, cross-selling and upselling opportunities across Market Access and Logistics.
  • Capital allocated to group-wide systems, digital and data initiatives, processes and people which are critical to our strategy and achieving ‘One Imperial’.
  • Contract renewal rate is 88%, with encouraging pipeline.
  • New business revenue of c.R5,9 billion p.a. secured in June 2021.
  • Material contract with P&G secured in the Consumer industry in Nigeria.
  • Five new clients onboarded onto our Multi Market Aggregation solutions in Healthcare.
  • Concluded strategic acquisitions of c.R120 million
  • Announced the acquisition of Deep Catch, which will provide a new category expansion, a new capability, and an extensive network in Market Access.
  • Announced the acquisition of the J&J Group, which will transform and expand Imperial’s reach in Africa.
  • Concluded 25% B-BBEE transaction in Logistics South Africa to become 51% B-BBEE owned and 30% women-owned.
  • Developed Integrated Commercial Solutions capability in Market Access Healthcare business.
  • Backward integration in Healthcare in South Africa through our 49% investment in Kiara Health since August 2020.
Asset intensity  

Transforming Imperial to an innovative asset‑right business using data and technology as a differentiator, and achieved through:

  • Investment in digital and data initiatives.
  • Asset-right acquisitions.
  • Transforming contract logistics and road freight to move from asset heavy industries to asset light.
  • Improve efficiency, reduce costs and investment in hard assets, reducing our asset intensity.
  • Reduced costs of c.R200 million (annualised) in Logistics Africa.
  • Consolidated road freight businesses in Logistics Africa.
  • Partnership with Lori Systems to expand ability to offer spot-based sub-contracted road freight through the digital freight exchange.
  • Significant new business gained in LLP (c.R1,3 billion).
  • Concluded Parcel Ninja acquisition (e-commerce fulfilment).
Simplifying the business from a complex, regional portfolio into an integrated market access and logistics business  
  • Transforming into an integrated logistics business, offering an end-to-end service.
  • Provide simplicity, flexibility and visibility to our clients.
  • New organisational structure focused on two solutions (market access and logistics), with centre-led functions.
  • Reorganised from a regional structure to an integrated business;
  • Significant investment and progress in establishing Logistics Africa, Market Access and ‘One Imperial’ commercial and key account management function.
Commoditised businesses  
  • Exiting non-core, underperforming, low return on investment businesses.
  • Investing in new-age businesses.
  • Focusing on data and technology – remaining relevant.
  • Exited Pharmed.
  • Sold European and South American shipping.
  • Progress with Digital Fleet Management, enabling our Road Freight Business.
  • Project Blue Fleet is recording good progress, with the renegotiation of supply agreements for our largest cost items in Logistics Africa (fuel, vehicle and tyres) close to being concluded.
  • Progress made on a business performance insights platform across the business.
  • Progress with partnerships to enable digital distributorships in our Market Access business.
Investment in digital, data and innovation  
  • Proactive ongoing investment in digital and data initiatives is top of mind and core to our strategy.
  • Capital will be allocated to:
    • an innovation fund with significant activity and opportunities identified
    • executing digital and data initiatives to facilitate transformational shift.
  • Imperial’s joint venture with technology provider, One Network, was selected as the preferred partner to steward OpenLMIS.
  • The Imperial Venture Fund (IVF) now has nine portfolio companies:
    • Field Intelligence, a digital pharmaceutical distributor operating in Nigeria and Kenya.
    • Shypple, a digital freight forwarder operating between Asia and Europe.
    • RedBird, a provider of rapid diagnostic tests to pharmacies in Ghana.
    • Lori Systems, a digital road freight exchange operating in East and West Africa.
    • Fulfilment Bridge, a cross-border digital logistics service provider serving e-commerce merchants in MENA.
    • MDaaS Global, the health-tech company building and operating a network of modern, tech-enabled diagnostic centres across Nigeria.
    • Clockwork Logistics, a B2B provider of a highly configurable delivery platform and driver application.
    • Cheefa, an asset-light, e-pharmacy marketplace that creates a distribution channel to end consumers in Egypt and Saudi Arabia.
    • Portcast, a Singapore-based B2B SaaS platform that provides real-time vessel and container tracking and dynamic demand forecasting.
Moving from decentralised to operating as ‘One Imperial’ – leveraging synergies, expertise, clients etc.  
  • Aligning processes and organisational design to ‘One Imperial’ – roll-out of a single finance, human resources, IT and communications systems.
  • Client value proposition centred on selling as ‘One Imperial’ and leveraging cross‑selling and upselling opportunities.
  • People proposition is centred around collaboration and being part of a ‘One Imperial’ business.
  • Investing in talent pipeline and leveraging skills/expertise across the group.
  • Organisational structures to enable ‘One Imperial’ strategy finalised and implemented.
  • Introduced and rolling-out a consistent ‘One Imperial’ people model and the associated ways of work for all our people practices.
  • Progressing plans to introduce a centre-led training initiative regarding digitisation, and driver and controller training.
  • Various communication initiatives to promote ‘One Imperial’.
  • Established a co-creation lab for increased collaboration with key principles and clients, to facilitate selling as ‘One Imperial’.
  • Invested c.R290 million in ‘One Imperial’ initiatives in F2021.
Creating shared and sustainable value – focusing on ESG  
  • Shifting to a purpose-driven organisation includes investing in and integrating environmental, social and governance (ESG) imperatives into daily business activities.
  • Prioritising people and planet in addition to profit.
  • Approved and implementing group ESG strategy, with specific, measurable targets and KPIs.
  • R24,2 million invested in communities through strategic CSI initiatives across regions focusing on healthcare, education, safety and skills development (F2020: R21,2 million).
  • Advancing ESG rating and reporting standards — favourable ratings received from EcoVadis, ISS, MSCI and CDP.
  • Significantly improved diversity of the leadership team: five out of 10 Logistics Africa Exco members are now female and six out of 10 Logistics Africa Exco members are non-white.


DP World makes an offer to acquire 100% stake in Imperial

As previously announced, in July 2021 Imperial entered into a transaction implementation agreement regarding a cash offer of R66 per share from DP World to acquire all outstanding shares of Imperial, implying an estimated aggregate cash consideration of c.R12,7 billion. This offer represents a premium of 39,5% to the Imperial share price as at 7 July 2021, the day prior to the firm intention announcement, and a 34,2% premium to the 30-day volume weighted average price of Imperial. Imperial’s Logistics International business is within the scope of the offer. DP World, a global infrastructure-led supply chain solutions provider with 136 business units in 61 countries across six continents, is interested in acquiring Imperial and all its businesses to expand DP World’s African and European network. This bears testament to the significant progress we have made against our strategy since 2019, as well as our strong presence, positioning, capabilities and networks in key markets in Africa and Europe (including the UK).

The proposed transaction will be value-enhancing for Imperial as the group will benefit from DP World’s leading technology, global networks and key trade-lane volumes, while enabling us to build on our ‘Gateway to Africa’ strategic and growth ambitions. Combining DP World’s world-class infrastructure, specifically its investment and expertise in ports on the African and European continents, with Imperial’s logistics and market access platforms will enable us to offer integrated end‑to‑end solutions along key trade lanes into and out of Africa and accelerate our position in Europe, driving greater supply chain efficiencies and ultimately enhancing value for all stakeholders.

Imperial’s Logistics International business and operations are also aligned with DP World’s strategic expansion plans on the European continent. As such, our Logistics International business is within the scope of the offer from DP World and will not be sold separately under this proposed offer.

The proposed transaction is still subject to outstanding regulatory and shareholder approvals, and other conditions precedent.