Plumbing Africa October 2019 | Page 11

NEWS 9 CEO Circle chooses to nurture a ‘national champion’ Black-owned company, BT Industrial, has been selected from more than 140 of South Africa’s leading BEE firms to be nurtured over the coming five years into a ‘national champion’ with yearly revenues of greater than R500-million. BT Industrial manufactures high-density polyethylene (HDPE) pipes and provides an array of complementary services to customers, including engineering, project management, quantity surveying, and maintenance solutions. It is estimated the firm will experience four-fold growth in revenue during 2019-2020. It was nominated by Endeavor. The CEO Circle (made up of South Africa’s 50 largest companies) in early August selected seven medium-sized black businesses as winners of the inaugural CEO Circle Entrepreneurs 2019 Award. In addition to BT Industrial, the list included InnoVent, TSK Interiors, Signcraft Africa, Siyeza Fine Chemicals, Sentio and Kele Mining Solutions. All have annual revenues currently of between R50-million and R100-million. The selected companies were announced by Gore, who is also chairperson of the SME Fund, at a ceremony in Sandton. He said these entrepreneurs have, through hard work and perseverance, already built solid companies. With the CEO Circle as a catalyst, they are poised to become significant players. While some of the entrepreneurs list access to capital as key to their future growth, the majority say that access to markets and mentorship would be considerably more beneficial. The SME Fund’s Lisa Klein says that to transform the seven firms into ‘national champions’, the CEO Circle would provide them with access to decision-makers across its shareholder base. In addition, they would be paired with top-level mentors, including some of South Africa’s most well-known business personalities such as Stephen Koseff, Michael Jordaan and Norman Mbazima. The seven finalists would October 2019 Volume 25 I Number 8 The businesses were selected after a comprehensive nomination and evaluation process conducted by Endeavor ScaleUp, under the auspices of the SME Fund. The latter fund is another CEO Circle initiative that supports small business development. In total, 143 black-owned firms were nominated since the scheme’s launch in March, to be whittled down to 49 after the first round of interviews. Two more rounds culminated in a final Dragon’s Den-like final-interview process, during which Discovery CEO Adrian Gore, Investec joint CEO Fani Titi, Sasol joint CEO Bongani Nqwababa, and Vodacom CEO Shameel Joosub, asked the leaders of the selected businesses to outline their corporate visions and strategies and ‘make a pitch’ for further support from the CEO Circle. This resulted in the final seven winners. Discovery CEO Adrian Gore. also receive access to debt and equity capital and tailored business support. The CEO Circle intended to repeat the awards process in 2020 and turn it into an annual event. Mid-sized companies are an important engine of economic growth. The CEO Circle aims to leverage the enormous power of the SA SME Fund’s shareholders (top 50 corporates) and fund managers to help grow these businesses into significant players in the South African economy. PA www.plumbingafrica.co.za