CEO Johnny Copelyn hints at expansion for the iconic Cape Town-based commuter service after listing.
The proposed separate listing by Hosken Consolidated Investments (HCI) of subsidiary Golden Arrow Bus Services could signal “an expansive view of transport” for the iconic Cape Town-based commuter service.
Speaking at the HCI annual general meeting on Wednesday, CEO Johnny Copelyn said that after the listing, Golden Arrow’s operations might not be limited to passenger transport services in the Cape Town metropole. “We might not only look at operating in the Western Cape … and perhaps we won’t only be limited to buses.”
He said there was no reason that Golden Arrow, which has a strong management team, could not move into freight or other transport niches.
To facilitate the listing, HCI is selling Golden Arrow to unlisted subsidiary La Concorde, which is cash flush after selling off the operating assets of KWV.
Copelyn said a due diligence was under way at Golden Arrow but he confirmed the transaction would not carry a high earnings multiple to reflect the risks inherent in the business.