DECREASE HOLDER OR DATE NUMBER PRICE TOTAL CURRENT VALUE TOTAL COMPANY INTERESTED PARTY DISPOSED PER SHARE ($) REALISED ($) SECURITIES PER SHARE ($)* VALUE ($)* *day of announcement A On market trade | B Off market trade | C Exercise of options | D Rights issue | E Share purchase plan | F Shares acquired on 27 June 2011 as a result of IGO's off-market takeover offer for all of the shares in Jabiru Metals on a 1 for 8 basis | G Acceptance of entitlement issue | H On market purchase by Metals X Limited Please direct enquiries to [email protected]INCREASE HOLDER OR DATE NUMBER PRICE TOTAL CURRENT VALUE TOTAL COMPANY INTERESTED PARTY ACQUIRED PER SHARE ($) COST ($) SECURITIES PER SHARE ($)* VALUE ($)* ■ FOR THE RECORD | CHANGE IN DIRECTORS' INTERESTS Westgold Resources Ltd Peter Cook 16-Feb-12 6,474,291 0.215 1,394,830 110,961,212 0.215 23,856,661 H Westgold Resources Ltd Warren Hallam 16-Feb-12 6,474,291 0.215 1,394,830 110,118,935 0.215 23,675,571 H Doray Minerals Ltd Allan Kelly 15-Feb-12 3,000,000 0.200 600,000 12,006,957 1.320 15,849,183 C Doray Minerals Ltd Heath Hellewell 15-Feb-12 2,000,000 0.200 400,000 6,077,665 1.320 8,022,518 C Liberty Resources Ltd Andrew Haythorpe 16-Feb-12 4,698,311 0.040 187,932 28,189,867 0.082 2,311,569 D Uranium Equities Ltd Tim Goyder 15-Feb-12 2,000,000 0.050 99,811 38,533,199 0.052 2,003,726 A Platinum Australia Ltd Peter Allchurch 15-Feb-12 943,746 0.080 75,500 10,381,180 0.082 851,257 G Platinum Australia Ltd John Lewins 15-Feb-12 557,243 0.080 44,579 6,129,664 0.082 502,632 G Independence Group NL Christopher Bonwick 14-Feb-12 7,500 4.000 30,000 2,057,500 4.270 8,785,525 E Independence Group NL Rodney Marston 14-Feb-12 7,500 4.000 30,000 1,321,917 4.270 5,644,586 E Empire Resources Ltd Adrian Jessup 14-Feb-12 500,000 0.050 25,000 2,567,555 0.050 128,378 E Independence Group NL Rodney Marston 14-Feb-12 3,750 5.500 20,625 1,314,417 4.270 5,612,561 F Liberty Resources Ltd Michael Fry 16-Feb-12 443,287 0.040 17,731 2,659,725 0.082 218,097 D Echo Resources Ltd Ernst Kohler 14-Feb-12 250,000 0.070 17,500 14,710,666 0.070 1,029,747 A Independence Group NL John Christie 14-Feb-12 3,750 4.000 15,000 503,750 4.270 2,151,013 E Empire Resources Ltd David Sargeant 14-Feb-12 300,000 0.050 15,000 6,400,000 0.050 320,000 E Truscott Mining Corporation Ltd Peter Smith 15-Feb-12 130,719 0.115 15,000 20,442,202 0.135 2,759,697 E Truscott Mining Corporation Ltd Derrick Sufredo 15-Feb-12 130,719 0.115 15,000 2,773,287 0.135 374,394 E Truscott Mining Corporation Ltd Michael Povey 15-Feb-12 130,719 0.115 15,000 964,719 0.135 130,237 E Silver Swan Group Ltd David Archer 14-Feb-12 200,000 0.060 12,000 950,000 0.060 57,000 B Silver Swan Group Ltd Susan Vearncombe 14-Feb-12 200,000 0.060 12,000 655,787 0.060 39,347 B Silver Swan Group Ltd James Harris 14-Feb-12 200,000 0.060 12,000 1,316,668 0.060 79,000 B Antipa Minerals Ltd Mark Rodda 10-Feb-12 122,332 0.082 10,031 5,332,116 0.085 453,230 A Antipa Minerals Ltd Stephen Power 10-Feb-12 122,332 0.082 10,031 5,332,116 0.085 453,230 A De Grey Mining Ltd Darren Townsend 16-Feb-12 433,605 0.019 8,305 776,231 0.018 13,972 A Antipa Minerals Ltd Mark Rodda 16-Feb-12 44,550 0.085 3,787 5,376,666 0.085 457,017 A Antipa Minerals Ltd Stephen Power 16-Feb-12 44,550 0.085 3,787 5,376,666 0.085 457,017 A Refresh Group Ltd Henry Heng 13-Feb-12 120,000 0.025 3,000 10,069,439 0.025 251,736 A Refresh Group Ltd Edmund Teo 13-Feb-12 120,000 0.025 3,000 7,957,700 0.025 198,943 A Sihayo Gold Ltd Gavin Caudle 10-Feb-12 17,500 0.100 1,750 131,464,474 0.115 15,118,415 A Ferrowest Ltd Brett Manning 13-Feb-12 28,000 0.061 1,706 3,157,055 0.058 183,109 A Liberty Resources Ltd James Becke 16-Feb-12 25,000 0.040 1,000 150,000 0.082 12,300 D Doray Minerals Ltd Allan Kelly 15-Feb-12 2,000,000 1.300 2,600,000 10,006,957 1.320 13,209,183 A Doray Minerals Ltd Heath Hellewell 15-Feb-12 1,000,000 1.300 1,300,000 5,077,665 1.320 6,702,518 A Galaxy Resources Ltd Robert Wanless 13-Feb-12 32,000 0.808 25,866 2,008,493 0.810 1,626,879 A RANKED BY VALUE OF TRANSACTION with continued exploration success and corporate growth, Independence Group NL is shaping the future of world-class gold and nickel. discovery Prosperity through bnd4235 www.igo.com.au 36 | February 23, 2012 www.wabusinessnews.com.au WA Business News
Transcript
DECREASE HOLDER OR DATE NUMBER PRICE TOTAL CURRENT VALUE TOTAL COMPANY INTERESTED PARTY DISPOSED PER SHARE ($) REALISED ($) SECURITIES PER SHARE ($)* VALUE ($)*
*day of announcement A On market trade | B Off market trade | C Exercise of options | D Rights issue | E Share purchase plan | F Shares acquired on 27 June 2011 as a result of IGO's off-market takeover offer for all of the shares in Jabiru Metals on a 1 for 8 basis | G Acceptance of entitlement issue | H On market purchase by Metals X Limited Please direct enquiries to [email protected]
INCREASE HOLDER OR DATE NUMBER PRICE TOTAL CURRENT VALUE TOTAL COMPANY INTERESTED PARTY ACQUIRED PER SHARE ($) COST ($) SECURITIES PER SHARE ($)* VALUE ($)*
■ FOR THE RECORD | CHANGE IN DIRECTORS' INTERESTS
Westgold Resources Ltd Peter Cook 16-Feb-12 6,474,291 0.215 1,394,830 110,961,212 0.215 23,856,661 H
Looking for a board position?companydirectors.com.au/Member-Services/Directorship-Opportunities
WA Business News www.wabusinessnews.com.au February 23, 2012 | 37
Jointly presented by:
The Carbon Tax is just around the corner - learn how to measure, manage and minimise carbon before it’s too late
The Carbon Tax is due to operate from 1st July 2012 and businesses need to address their emissions and energy use to improve their bottom line.
These courses will equip your business with the skills and knowledge it needs to save money on energy costs, future carbon taxes and expensive energy consultant fees.
To register or for more information, please contact Eric Findlay on 9233 1011 or email [email protected].
TO REGISTER OR FOR MORE INFORMATION
CALL 9233 1011
These courses cover (amongst other things):
Legislation - the National Greenhouse Energy Reporting (NGER) legislative framework and the National Carbon Offset Standard (NCOS)How to measure and report carbon emissions and energy consumption in compliance with this legislationUse of Carbon Management SoftwareHow to become carbon neutralHow to prepare an Emissions and Energy Plan
625
| FEB
201
2
TWO DAY WORKSHOP – “MEASURE,
MANAGE AND MINIMISE CARBON”
8 & 9 MarchWest Coast Institute of TrainingJoondalup Campus$963
DIPLOMA OF CARBON
MANAGEMENT
Workshops commence on 22 MarchWest Coast Institute of TrainingJoondalup Campus$3,535
Ajilon recruits RosaIT consultancy Ajilon has appointed Murray Rosa as general manager, government and utilities. Mr Rosa was most recently chief officer – sales & delivery at ASG Group, and prior to that was general manager of CSC and chief executive officer at Unisys West. He will initially be based in WA, but will focus on expanding Ajilon’s government and utilities business on the eastern seaboard.
Bitdorf represents PolandPaul Bitdorf has been appointed as Poland’s first honorary consulate in WA. Mr Bitdorf is the managing director of property group Nicheliving.
Blakiston joins TopdriveBob Blakiston has been appointed as general manager of drilling contractor Topdrive Drillers. He was previously chairman of the Sustainable Energy Association of Australia and managing director of SunPower.
Higgins up at Skelton SherborneLogistics company Skelton Sherborne has appointed freight consultant Frans Higgins as the branch manager of WA. Mr Higgins was previously general manager of a multinational logistics company and also ran his own freight forwarding business, Higgins Global Logistics.
Martin joins BauxiteWA miner Bauxite Resources has appointed Neil Martin as exploration manager. Mr Martin was previously chief geologist and exploration manager at Jabiru Metals and project manager at QGX.
Aquilina joins Access AnalyticFinancial modelling firm Access Analytic has appointed Philip Aquilina as a senior business analyst. Mr Aquilina was previously an accountant at Flinders and Gooding Pervan.
Wells to Lateral AspectCreative agency Lateral Aspect has appointed Craig Wells as brand strategist. Mr Wells was previously the WA state manager at Casama Group, and has also worked for FM Liquor and the Fosters Group.
Reward for Tenardi Daniel Tenardi has been appointed as project director of Reward Minerals’ Lake Disappointment potash project in WA’s Gibson Desert. Mr Tenardi was previously area manager for Mining and Civil Australia, and has also worked at Bauxite Resources, Hammersly Iron and BGC Contracting.
Richards to Astro ResourcesMinerals sands explorer Astro Resources has appointed Geoff Richards to head a mineral sands technical and operational team in the Scott Coastal Plain east of Augusta in southern WA. Mr Richards is the former chief geologist of Iluka Resources.
New managers at AntariaMaterials developer Antaria has appointed Russell Vallis as general manager of OEM products, Nathan Chapman as general manager production and sourcing, and John Robinson as general manager advanced research and development.
Arafura ResourcesManaging director Steve Ward, as well as non-executive directors Lloyd Jones, Loretta Reynolds, Ian Laurance and Terry Jackson have resigned.
Avalon MineralsAbu Sahid Bin Mohamed has been appointed as chairman, following the resignation of David McSweeney. Executive director Jeremy Read has been appointed as managing director, following the resignation of Andrew Munckton, who remains as a director. Paul Niardone, Siew Mun Wai, Rohan Edmondson, Gary Goh and Siew Mun Chuang have been appointed as non-executive directors.
Glory ResourcesNon-executive director Jeremy Wrathall has been appointed as chairman.
Golden West ResourcesDirector Gary Lyons has been appointed as chairman, and Tien Seng Law as deputy chairman.
IMX ResourcesJohn Nitschke has been appointed as non-executive chairman, following the resignation of Johann Jacobs.
Indo MinesHendra Surya has been appointed as a non-executive director.
Kaboko MiningMalenga Machel has been appointed as non-executive chairman, following the resignation of executive director Kate Hobbs.
Key PetroleumKane Marshall has been appointed as chief executive officer.
Metals XJinchuan Group has changed its nominated non-executive director to Xie Penggen, following the resignation of Sanlin Zhang.
Raisama
Executive chairman David Berrie is now non-executive chairman. Directors Guy Cowan and Chris Reindler have resigned.
Signature Metals
Richard Chan has been appointed as chairman, following the resignation of Matthew Wood.
Torrens EnergyNon-executive chairman Dennis Gee has been appointed as executive chairman, following the resignation of managing director John Canaris, who remains as a non-executive director.
Venturex ResourcesMichael Mulroney has been appointed as managing director to succeed Tim Sugden.
FACT FILE Compiled by Dan Wilkie
IronClad boosts coffers by further $3m16-February-2012 by Dan WilkieIronClad Mining has announced a further $3 million capital raising to fund the development of the Wilcherry Hill iron ore project in South Australia.Proceeds of the placement, priced at 85 cents per share, will be combined with existing cash reserves to pay a $5.8 million environmental bond to the South Australian government for Wilcherry Hill.The Wilcherry Hill mine remains on target to commence production in the March quarter, the company said.IronClad is targeting one million tonnes of iron ore exported in the first full year of production from the project, ramping up to two million tonnes in the second year.By 2016, IronClad is targeting production to reach between 10 million and 12 million tonnes of iron ore.The $2.97 million placement was undertaken by Cygnet Capital, and follows a $6 million placement to New page Investments in January.The company said it had plans to raise a further $11 million by the end of March through options likely to be exercised by investors.
Quickflix completes $2.5m capital raising15-February-2012 by Dan WilkieOnline movie rental company Quickflix has announced a $2.5 million capital raising to supplement a recent $10 million equity deal with Time Warner subsidiary Home Box Office.
The Perth-based company said it had successfully completed a $2.5 million placement to local and overseas institutional investors, priced at 11.5 cents per share.The announcement follows last week’s deal with HBO, which saw the US media giant offer to buy just over 83 million Quickflix shares at 12 cents per share and appoint a representative to the Quickflix board.Quickflix said the funds from both capital raisings would be applied to rolling out its digital streaming service and building subscribers through advertising and promotion.The placement was undertaken by Sydney’s Foster Stockbroking.
Straits raises funds to advance projects13-February-2012 by Staff ReportersStraits Resources plans to raise up to $50 million to restructure an offtake agreement, and advance its Tritton copper mine in New South Wales and Mt Muro gold operation in Indonesia.The Perth-based company intends to spend US$19 million of the funds to buy-out and restructure an offtake agreement with J.P. Morgan at the Tritton operation.Straits will repay an existing six-month loan facility worth US$10 million to J.P. Morgan, while also exercising an option to terminate a new offtake agreement for shipments after July 1 for $9 million.“The removal of the onerous offtake agreement will reduce the copper treatment and refining charge from
35 per cent of the copper price to approximately 5 per cent,” Straits chief executive officer Mr Jerkovic told reporters at a media briefing.The capital raising includes an institutional placement, involving the issue of 75 million shares over two tranches, worth $45 million at $0.60 per share.In addition, Straits intends to raise up to $5 million at the same price through a share purchase plan to eligible shareholders in Australia and New Zealand.
Mergers and AcquisitionsSTW’s Cannings buys into Purple20-February-2012 by Mark BeyerListed company STW Group has added to its Perth media and communications interests by purchasing a 49 per cent shareholding in public and investor relations firm Purple Communications.This adds to STW’s shareholding in Perth-based advertising agency The Brand Agency and media planning and buying company Ikon.STW’s investment, for an undisclosed sum, has been made via its Sydney-based corporate and financial PR firm Cannings. As a result of the investment, Purple will change its trading name to Cannings Purple.The remaining 51 per cent of Purple will be retained by its founder and managing director Warrick Hazeldine, and directors Annette Ellis, Caroline Thomson, Ryan McKinlay and Richard Harris.
The investment adds to a trend that has seen Perth’s major financial PR firms link into national and international groups.Professional Public Relations and FTI Consulting, which were the top two financial PR firms in WA Business News’ 2011 corporate finance survey, were originally owned by their Perth directors but have since been acquired by the national groups.Purple and locally-owned Read Corporate were the main rivals to the two market leaders.STW said the Purple investment would build Cannings’ capability, adding to offices in Sydney and Brisbane and partner companies in Melbourne and Asia via Ogilvy Public Relations Worldwide.Commenting on the strategic rationale, STW chief executive Mike Connaghan said “financial and corporate PR takes us directly into the c-suite of big businesses, dealing with CEOs and boards on the most critical issues their businesses face. “This type of access and influence generates unique momentum which often provides opportunities for other businesses within the STW group. It’s a smart business to be in, and this investment further cements our leadership position.”Mr Hazeldine said it was a partnership the company had been working towards for some time.“Becoming part of the national STW network will expand the service we offer our clients, and provide a stronger presence and profile on the East coast and across important Asian markets,” he said.STW has interests in about 70 media and communications businesses, including Labor-aligned lobbying firm Hawker Britton, which closed its Perth office last year, and newly established firm Barton Deakin, which has a Liberal Party alignment.Purple director Richard Harris will represent both firms in the Perth market, and emphasised that Purple will continue its non-partisan approach to lobbying.
Neptune sells US diving arm14-February-2012 by Staff ReportersNeptune Marine says it has completed its restructuring of operations, selling off its US-based diving business to a US private equity firm.The company said it would receive $500,000 for the business, with the sale not expected to have a material impact on the company’s profits.It said the diving business was expected to lose around $100,000 per month moving forward, despite contributing a small operating profit for the six months to December 31.
Continued page 39
WA Company ListingsAfrican explorer Pura Vida lists on ASX14-February-2012 by Staff ReportersPura Vida Energy has raised $4 million for exploration in Africa in an oversubscribed initial public offering on the Australian Securities Exchange.The Perth-based company plans to use the funds for exploration activity within 11,000 square kilometres of Morocco’s Mazagan off-shore area in the Atlantic ocean.Pura Vida managing director Damon Neaves said the prospective resource of the permit has been independently certified at more than a billion barrels of oil. The company is operator and owns a 75 per cent interest in the permit.“Mazagan is a great first project on which to build a diversified portfolio of energy assets,” Mr Neaves said.Pura Vida’s key asset is the Toubkal prospect, which is located in deep-water 100 kilometres off-shore west of Moroccan port town, Essaouira.Toubkal has been independently estimated to contain between 180 and 1,670 million barrels, with a mean estimate of 790 million barrels of oil, according to the company.“Our long-term strategy is to explore, develop and produce oil and we will be actively seeking future acquisitions and joint venture partners to achieve our growth aspirations,” Mr Neaves said.He added the company’s short-term strategy was to build a diversified portfolio of energy assets to rapidly grow the company.Pura Vida offered 20 million shares at $0.20 each to complete the offering.
Capital RaisingsExcelsior raises $4.5m17-February-2012 by Staff reporterExcelsior Gold has completed a $4.8 million capital raising to fund the development of its Kalgoorlie North gold project.The Perth-based gold junior announced today it had successfully completed a private placement of 40 million shares at 12 cents per share.BBY Limited acted as lead manager to the placement.“The company considers the investment from investors to be an overwhelming endorsement of the Kalgoorlie North gold project and provides support for Excelsior Gold to progress the pre-feasibility and infrastructure relocation studies required to bring the Excelsior deposit and surrounding satellite deposits into production,” it said in a statement to the ASX.
TAKEOVER TARGETS: Purple Communications’ Warrick Hazeldine (centre), Richard Harris and Annette Ellis. Photo: Grant Currall
38 | February 23, 2012 www.wabusinessnews.com.au WA Business News
■ FOR THE RECORD |
No 1 St Georges Terrace, PERTH WA 6000Telephone: +61 9261 8025 Facsimile: +61 9261 8020Email: gril [email protected]
www.duxtonhotels.com
A scrumptiousgourmet lunch buffet
awaits you!If you are in a hurry or just want to relax
and enjoy a delicious lunch then our gourmet buffet is for you.
12 noon - 2pm weekdays
$35.00 per personBooking s r e c ommended f o r g r oups .
“Profit From Our Experience” phone 9481 4422
BUSINESSES FOR SALE www.buyabusiness.com.au
DistributionPrice: $3m.Well established and has the exclusive distribution agreements and rights to WA. Supplies product on temporary hire to the construction and events industry. No stock or debtor funding, highly profitable, expanding market, operated under management, owner works part time. This is one of the largest in WA – rare proven business investment.Dennis Brede: 08 9481 4422, fax 08 9481 4441Goodwin Mitchell O’Hehir
Manufacturing & servicePrice: $3.8m plus stock.Well-equipped fabrication workshop with core market firmly connected to the WA mining industry. Broad business has key relationships with mine-site infrastructure suppliers. Strong growth since 2008 and strong order book with a turnover of $8.5m in 2011.Kerry O’Hehir: 08 9481 4422, fax 08 9481 4441Goodwin Mitchell O’Hehir
Pipe & steel fabrication Price: $4m including P&E.Average EBITDA $1 million/year. Long-established proven success with major projects and blue chip clients. Expanding, high reputation. Large property and facilities available for lease or buy arrangements.
Corporate services Price: $3.45mOwners have built this business on quality service to quality clients and consistently deliver above the average. Established accounts with corporate clients in WA going back many years. More than 900 clients covering mining, construction, state utilities and myriad other commercial businesses. Five-year average profits $1.02m.Barry Graham: 08 9481 4422, fax 08 9481 4441Goodwin Mitchell O’Hehir
Wholesale distribution automotivePrice: $575,000.Five-day operation. Low staff. Good cash income. Continual growth. After-market automotive products. Suitable bolt-on. Growth potential. 2012 financial year showing 15 per cent increase.Barry Graham: 08 9481 4422, fax 08 9481 4441Goodwin Mitchell O’Hehir
Recycling & disposal (e-waste)Price: $900,000.Unique business that has grown every year for the past four years since it was established. All
indicators show it is growing this financial year another 15 to 20 per cent turnover. The business is netting about $400,000 plus. For owner operator. Jan Gunnink: 08 9486 1000, [email protected] & Co. Business Brokers
Supermarket, liquor store, newsagencyPrice: $870,000 psav.Located in the state's Mid West. Large store, very solid business and a reliable investment. Run under management. $50,000-$60,000/week, includes property.Wayne Cooper: 0407 99 7777Statewide Business Brokers
Pilbara logistic & transportPrice: $7.3m.Professional, modern operation, servicing speciality oil, gas and mining sectors; major client base.Large turnover,good profitability. Good reputation. Fully equipped workshops, stable workforce. Wayne Cooper: 0407 99 7777Statewide Business Brokers
Import/distributionPrice $2.95m including stock. Well established, market leader.High GP, only three staff, could be merged. Turnover $5.46m, EBITDA $950,000David Knowles: 0412 195 402Zircom
WA Business News www.wabusinessnews.com.au February 23, 2012 | 39
Verne Harnish
A BUSINESS acquaintance of mine, the founder of a leading manufacturer of industrial blinds and awnings, had always sold through a dedicated network of distribution representatives. However, his son, who had recently joined the firm, was hearing from some of their best customers that they would prefer to buy direct. Not only did the customers hope to save money, but many felt they were more knowledgeable about what they wanted than the manufacturing representatives.Channel conflict. More and more business leaders are facing similarly difficult decisions about sales and marketing channels. If the industrial blinds manufacturer doesn’t provide a direct channel for customers that want it, they’ll find someone who will. And if he does open a direct channel, he risks losing the active support of his best representatives.So what should he do?A decade ago, this was a tough decision. Today the answer is fairly straight-forward. The business owner has no choice but to open up a direct channel. Bob Bloom, retired US CEO of Publicis Worldwide and author of The New Experts, points out that today’s customer has three lethal weapons: instant access to information; immense choice; and the capability to make real-time price comparisons. As a result, customers are calling the shots in today’s marketplace. They want products and services available when and where it’s convenient for them.This is precisely why Apple launched retail stores. Dell, famous for its direct-selling business model, is now distributing through outlets including Walmart, and I just saw Amazon Kindles for sale in the Dublin and Rome airports. Companies really have no choice but to be everywhere their customers demand them to be. More revenue and profitThe great news is that research backs up a multi-channel strategy. According to a McKinsey article on multi-channel retailing, consumers who shop across a number of channels –physical stores, the internet, and catalogues – spend about four times more annually than those who shop in just one. Companies that get multichannel retailing right can enjoy larger profit margins and yearly revenue growth more than 100 basis points higher than companies that don’t.For my own executive education company, this meant marketing our recent summit through LinkedIn, which proved to be an effective way to publicise the event to many in our target market. In turn, we received zero response from some of our Facebook efforts, telling us that LinkedIn is a necessary and viable channel to maintain moving forward, while Facebook is not. Changing the channelOne of the more helpful resources for growth firms, in thinking through various channel strategies, is Changing the Channel: 12 Easy Ways to Make Millions for Your Business by Michael Masterson and MaryEllen Tribby. Leaders of a successful mid-market firm, they have the know-how to guide you through a dozen different channel strategies. These include direct online marketing, social media, public relations, radio and television advertising, direct space ads, event marketing, telesales, telemarketing, joint ventures, affiliate marketing, and direct mail.As they note in their book, a recent study by the Direct Marketing Association found that customers who buy from two channels as opposed to one eventually become 20 to 60 per cent more valuable to a company, while those who purchase through three channels are 60-125 per cent more valuable. A side benefit is that these purchasers tend to buy a wider range of products.Another valuable resource is the book The Channel Advantage by Lawrence Friedman and Tim Furey. Written just as the internet began to catch on as a new distribution channel, Friedman and Furey give helpful insights from the many larger firms they’ve helped move into multiple channels. Two channelsSo what did my acquaintance, the blinds and awnings businessman, end up doing? He let his son establish a second company with a name unrelated to his main firm, and by providing a slightly different mix of products and more importantly, different part numbers, he opened up a direct channel to the marketplace without overtly competing directly with his manufacturing rep distribution channel.In its first year, the direct business proved to be the duo’s fastest growing channel, adding millions of dollars of revenue. It more than made up for slower growth through their marketing reps.
Verne Harnish is CEO of Gazelles Inc, an executive education and coaching solutions provider, and author of Mastering the Rockefeller Habits: What You Must Do to Increase the Value of Your Fast-Growth Firm.
More sales channels means more sales
FACT FILE
Chief executive Robin King said the sale was the final milestone in the restructure of the business, which came about following a comprehensive review of operations last year.
Minemakers bids for UCL13-February-2012 by Dan WilkieMinemakers has launched an off-market, all-scrip takeover bid for its joint venture partner UCL Resources, which values the target at around $23 million.Minemakers has offered 9 shares for every 10 UCL shares held, implying a value of 30.2 cents per share, based on the company’s closing share price of 33.5 cents from February 10.Perth-based Minemakers currently holds a 13.1 per cent stake in UCL.The two companies are joint venture partners in the Sandpiper marine phosphate project in Namibia.Minemakers executive chairman Andrew Drummond said the acquisition would place the combined entity in a stronger position to obtain project financing to accelerate development of the Sandpiper project.“There are compelling benefits to UCL shareholders who accept the offer,” Mr Drummond said in a statement to the ASX.“UCL shareholders will realise a substantial premium, enjoy the associated advantages of being shareholders in a much larger and more liquid company, and benefit from diversifying their investment across Minemakers wider asset portfolio.”
Contracts and DealsGindalbie inks $64m deal with Downer20-February-2012 by Staff reporterGindalbie Metals has awarded Downer EDI a $64 million contract for electrical and instrumentation works at its Karara iron ore project in the Mid West.The construction contract comprises electrical and instrumentation works for the project’s 8 million tonne per annum magnetite concentrator and will employ more than 260 workers.Gindalbie managing director Tim Netscher said the contract, and the structural, mechanical and piping contract in August were the final major construction packages to be awarded for the Karara project.
Thiess venture wins $500m LNG contract 20-February-2012 by AAPA joint venture including Leighton subsidiary Thiess has won a $500 million contract to build storage tanks at the Wheatstone liquefied natural gas project in Western Australia.Thiess and tank design firm EV LNG Australia will build LNG storage and condensate tanks near Onslow, in the state’s north.The $29 billion Wheatstone LNG project is being operated by US energy giant Chevron.Thiess said the tank project would created 475 jobs, with 75 per cent of the work to be completed in Australia.
Monadelphous signs Rio framework17-February-2012 by Staff reporterMonadelphous Engineering has become the fourth contractor to announce a framework agreement with Rio Tinto, giving it preferred contractor status for structural, mechanical and piping work as well as electrical and instrumentation jobs over the next five years.Monadelphous managing director Rob Velletri said a key feature of the agreement was an early contractor involvement model, which will see the firm work with Rio on the early phases of projects.“The agreements provide for greater certainty of supply, better visibility of work flow and ultimately maximise value for both Rio Tinto and Monadelphous,” Mr Velletri said.The deal follow announcements by Rio Tinto that NRW Holdings, Southern Cross Electrical Engineering and Decmil Group had signed similar contracts.The agreements are part of Rio Tinto’s efforts to expand its iron ore production capacity in the Pilbara to 353 million tonnes per annum by 2015.
LogiCamms wins $8m Gorgon deal17-February-2012 by Staff reporterEngineering group LogiCamms has won an $8 million contract to provide maintenance services on Chevron’s Gorgon LNG project.Under the contract LogiCamms
From page 38
Continued page 40
GROWING BUSINESS | FOR THE RECORD ■
40 | February 23, 2012 www.wabusinessnews.com.au WA Business News
FOR the past 16 years, since I turned 50, I have been angry at birthdays; didn’t want any more and didn’t want to have any acknowledgement. Didn’t want any celebration. But, people always encouraged me to anyway. This year I’ve decided to go from grumpy to grateful – from stoic to celebratory. And it was a joyful decision. I have so much to be thankful for. It’s a shame to waste another second lamenting my age. Celebrate the day and the days.Celebrate the year and the years.Celebrate with family and close friends. I’m so happy to be with my family and in good health. I’m so happy to reflect on achievements and create the vision for new milestones to pass this year and in the coming decade.How do you celebrate your birthday? Many people celebrate the wrong way. They party to a stupor. Drunk, hungover, stoned, high, and in general overindulgent to a point of needing a day to recover.Let’s take it deeper.How do you celebrate the sales you make? How does your boss celebrate the sales you make?Are they two different celebrations?Most salespeople have a plan or a quota for the month, the quarter, and the year. To accomplish this task (goal) is often more arduous than most salespeople are able. Sales have to take place on a regular basis.When salespeople make a sale, there’s a celebration; sometimes a very small one, sometimes a negative one. Here’s the scenario ...Salesperson (in an elated tone): ‘Hey boss, I just made a sale.’ Boss: ‘You still need three more before you hit your goal.’Salesperson: ‘Thanks boss, you (expletive deleted).’ The boss could have just as easily said, ‘Great. Way to go. Tell me all about it.’ Your boss could have embraced your success, celebrated the moment, and helped you discover what went right so you could repeat the process, and have a great attitude toward the inevitable next sale. Which celebration would you rather have? Which boss would you rather have? Which boss do you have? Which boss are you?Here’s what I discovered this birthday: Celebration, and the type of celebration, is both a choice and an attitude.If your boss is grumpy, it might make you grumpy. That’s what I was the past 16 years on my day of birth. I wasn’t snippy about it, but people knew it was not my choice to celebrate a birthday as I was ageing. And it only took me 16 years to figure out that I was completely, utterly wrong. Not only was I gloomy, I made others around me gloomy. In spite of the fact that people called me, in spite of the fact that people gave me gifts, or took me out to dinner, or surprised me with a party, I still wasn’t happy on the inside. I wasn’t my normal gung-ho, laughing, smiley self. So I made a choice through my own self-realisation that I couldn’t stop my birthday from occurring, so why not make it a happy time with my family and the people I love. The good news is I have gone from 364 days of celebration to 365 days of celebration. You and your boss may not be the same. You will make more sales if you celebrate the sale and the day, every time. And your boss will be perceived as a great boss if he or she celebrates with you. Please join me in celebrating everything and every day. Please join me in finding all the good in whatever happens rather than nagging on what didn’t happen or what still needs to happen. It boils down to the choice between four simple words: Discourage or Encourage? Criticise or Harmonise?Which words and actions do you think work best?While the choice may seem obvious, the actual implementation and communication are often the opposite. In fact, they are more often the opposite.Want to grow your business? Want to make more sales? Want to make more profit? Want to increase productivity? Want to have better morale? Want to keep your customers loyal? Want to keep your employees loyal? It’s real easy – celebrate more.Happy birthday.
Celebrate success at home and work
The Western Australian Trade Opportunities Service is operated by the International Trade Centre of the Chamber of Commerce and Industry WA.
BUSINESS AND TRADE
Invitation for expressions of interest for implementation of electronic bracelets monitoring system for Mauritius Police Department (Mauritius) – 17639; Invitation
for expressions of interest in supply and implementation of an e-registry system for the Mauritius Registrar General's Department (Mauritius) – 17638.
For full details on any of the above trade opportunities please contact Nick Paterniti (quoting the relevant reference number shown) at the Chamber of Commerce and Industry of Western Australia on Tel: (08) 9365 7620 Fax (09) 9365 7616 or email [email protected].
TRADE OPPORTUNITIES
FACT FILE
will conduct maintenance reviews, build asset registers, and develop maintenance tactics.Managing director Steve Banning said the contract award recognised the company’s expertise in asset management.“The award of the Gorgon project maintenance engineering services contract by Chevron, a tier one global player in the energy industry, is a result of our commitment to developing an asset management service that responds to market demands,” Mr Banning said.
Decmil wins FMG rail camp deal16-February-2012 by Dan WilkieDecmil Group has announced it will build a 200-bed rail camp for Fortescue Metals Group in a deal worth $28 million.The contract, which is part of FMG’s T155 rail expansion program, will see Decmil construct 200 single person accommodation rooms, with the option to increase to 514 rooms, a wet mess, gym and recreational facilities, as well as administration rooms at a site just south of Port Hedland. Decmil Group chief executive Scott Criddle said construction was due to commence early next month, with a scheduled completion in the second quarter of this year.“We are delighted to build on our relationship with Fortescue Metals Group through this contract,” Mr Criddle said in a statement.“This is the latest in a series of projects that Decmil has carried out for Fortescue Metals group, including the construction of an airstrip and provision of staff accommodation at Christmas Creek.”
Fortescue, IOH ink iron ore agreement13-February-2012 by Dan WilkieAndrew Forrest’s Fortescue Metals Group will pay Iron Ore Holdings $25 million for the exclusive option to mine the Iron Valley and Weelli Wolli tenements in the central Pilbara, in a deal that could potentially be worth up to $650 million for IOH.IOH announced today that it would retain ownership of the tenements if the option is exercised, while Fortescue would pay an additional $20 million in cash and a 2 to 5 per cent royalty.Fortescue will hold the option to mine the tenements until March 31.Based on pre-feasibility studies at Iron Valley and a production rate of 12-1Mtpa for up to 15 years, the royalties could be worth up to $600 million for IOH.Under the agreement, Fortescue would pay all costs associated with developing and iperating a mine on the Iron Valley tenements.Fortescue also has the right to farm-in to a 50 per cent or more stake in the Maitland River iron ore deposit, should IOH go ahead with commercialisation of the asset.
BriefsPerseus profits as mining starts in Ghana17-February-2012 by Staff reporterPerseus Mining has returned to profitability, bouncing back $13.7 million into the black for the six months to December 31.Perth-based Perseus, which kicked off mining at its Edikan gold project in Ghana last month, posted a net loss of $42.4 million the previous corresponding half year.Managing director Mark Calderwood said it was pleasing to have reported a profit, but noted revenue or operating costs incurred at Edikan had not been included in the results.“ Mr Calderwood said the company was targeting production rates of between 135,000 and 145,000 ounces of gold over the second half, at an average cost of $US550 per ounce.
Mineral Resources boosts first half profits16-February-2012 by Staff reporterMining and mine services group Mineral Resources has lifted profits by 33 per cent in the six months to end-December against the same period a year ago.The Perth-based company reported after-tax profits of $80.5 million, an improvement on the $60.6 million delivered in the first half of the 2011 financial year. The company also declared an interim dividend of $0.16 per share.During the period, Mineral Resources started operations at its Carina iron ore mine in the Yilgarn region of the state, while ramping up the processing plant it built and operates at Fortescue Metals Group’s Christmas Creek mine.Chairman Peter Wade said the development of the company’s mining and mining services operations had been supported by a number of merger and acquisition initiatives in the half.The company completed the acquisition of Auvex Resources to make inroads into WA’s manganese sector and purchased a group of iron ore tenements in the Pilbara region from Iron Ore Holdings.
Mermaid lodges strong profit growth16-February-2012 by Staff reporterMermaid Marine has reported a 35 per cent increase in net profit for the six months to December 31, driven by an “exceptional performance” by the company’s Australian fleet.The Perth-based company announced today a 44 per cent increase in revenue to 193.1 million over the half year, up from 134.5 million in the previous corresponding period.Mermaid Marine chairman Tony Howarth said the oil and gas market remained buoyant, which would drive demand for the company’s services.“Competition, however, continues to increase as international vessel operators move in to take advantage of strong activity in the region,” Mr Howarth said.
Arafura, Raisama slash board numbers16-February-2012 by Mark BeyerPerth companies Arafura Resources and Raisama have both slashed the size of their board of directors, in order to cut costs as they continue long-running negotiations over the funding and development of their respective projects.Arafura said today that managing director Steve Ward has stepped down, directors Lloyd Jones and Loretta Reynolds have elected to retire, while Ian Laurence and Terry Jackson, who were due to retire from the board at the next annual meeting, will retire early.That leaves the company in the hands of chairman Ian Kowalick, who also disclosed today that development work at its Nolans rare earths project has “identified some issues for which it will take more time to refine solutions”.This news follows the cancellation of a $74 million rights issue last November, triggered by a slump in the company’s shares below the offer price of 60 cents.
BC Iron lodges profit boost16-February-2012 by Dan WilkieBC Iron has reported a significant boost in interim net profit, on the back of a maiden operational profit from its Nullagine iron ore joint venture with Fortescue Metals Group.The Perth-based iron ore miner today announced a net profit of $5.4 million for the six months to December 31, up from $1.2 million the previous corresponding half year.Managing director Mike Young said the company’s Nullagine operations began to gather momentum during the second half of calendar 2011.“While the operation is still ramping up, the NJV has already achieved its production guidance targets of 1Mt exported by December 2011 and a throughput rate of 3Mtpa since November 2011,” Mr Young said in a statement.“It is with great pride that we announce our first operational profit as an iron ore production company.”
Mincor lodges profit despite revenue drop15-February-2012 by Dan WilkieNickel miner Mincor has capped a busy six months by nudging back into the black, reporting a $350,000 profit for the six months to December 31.The rebound from the previous half year’s $2.14 million loss came despite a drop in sales revenue to $62.44 million, from $80.38 million.Mincor said its turnaround was largely due to the move to owner-mining at its flagship Miitel and Mariners mines.The company declared a fully-franked interim dividend of 2 cents per share, maintaining its ten-year run of uninterrupted dividend payments.Mincor managing director David Moore said the company was pleased to have returned to profitability despite the challenges of the restructuring effort, an ever-softening nickel price and the strong Australian dollar.
From page 39
WA Business News www.wabusinessnews.com.au February 23, 2012 | 41
| COMMUNITY & ARTS SECTOR ■
‘‘It [philantropy] is sometimes called the glue that holds people
together.’’ - Carillo Gantner
IN BRIEF
Industry movesPAUL Bodlovich has resigned as chief executive officer of the West Australian Music Industry Association, to take up the role of CEO at the Film and Television Institute (WA). Mr Bodlovich has been with WAM for 10 years. WAM has appointed former Kulcha program manager Alexis Courtin as project officer, to replace Daphne Tan.
WA multicultural arts body Kulcha has appointed arts producer and performer Frank Italiano as program and agency manager. Former corporate banker and Fremantle Chamber of Commerce honorary treasurer Barry Bird has been appointed as finance manager.
Fringe wrapPERTH’S first Fringe World festival wound up last week after three-and-a-half weeks of shows, and 180,000 people attending free or ticketed performances.
More than 900 performers were in Perth for the festival, which combined theatre, cabaret, circus, music and dance shows at 40 venues across Perth city.
In all, 50,000 tickets were sold to the 131 ticketed Fringe shows, with 44 of those reporting sell-out performances through their seasons.
In total, ticket sales across all shows came to $1,070,000.
Myer funds make philanthropy work
BORN into the iconic Myer dynasty, Carrillo Gantner did his best to avoid the family business by training as an actor and pursu-ing a career on the stage.
He pursued qualifications in arts administration and a masters in fine art, studies that were fol-lowed by extensive experience run-ning numerous arts organisations and production companies.
Eventually, however, Mr Gantner stepped back into the family busi-ness, becoming involved in the philanthropic side of things as chair of the Sidney Myer Fund.
■ Emily Morgan
FAMILY TRUST: Carrillo Gantner is in the third generation of the Myer family and is chair of the Sidney Myer Fund, among other professional director roles. Photo: Grant Currall
In Perth for the fund’s per-forming art awards this week, Mr Gantner addressed a small group – hosted by NAB Private Wealth, Australia Business Arts Foundation and Giving West – to explain the family history and values behind the Myer family’s philanthropic work.
Each year, the Sidney Myer Fund (established in the 1930s) and the Myer Foundation (1959) distribute $11 million to charities.
“We believe that a creative soci-ety is a more dynamic and interest-ing one because through the arts we learn about our own lives and the lives of others and get alterna-tive models for how we might live our lives,” Mr Gantner said.
“We think people aspire through a range of tools – religion and cul-ture is another important one; we aspire to be more than economic beings.
“Whether we know it or not, we subscribe to the Richard Florida theory of creative cities, that the cities in this world that are doing the best are the ones that invest in creativity … and the arts are a very important part of that.
“They are good for the economy, they are not only a big employer, but the non-profit arts are the crea-tive feeding grounds for a whole range of creative industries, which include television and film, IT, advertising, the fashion industry and a whole host of others.”
Mr Gantner said each generation of the Myer family had introduced a new focus for the two charitable organisations, with his generation keen on environmental issues.
“I am not quite sure what the next generation will have, but phi-lanthropy is very much a part of the culture of the family, it is some-times called the glue that holds people together,” he said.
Not all the causes that family members are passionate about can be supported by the Sidney Myer Fund and the Myer Foundation, so 13 private ancillary funds have been established across the differ-ent families under the Myer family tree to grow private family support and allow family members to direct
support to family-specific causes.The Howard government intro-
duced PAFs as tax-deductible philanthropic trusts and aimed to encourage growth in private giv-ing. Mr Gantner said the funds had helped to encourage younger generation involvement in family philanthropy.
Mr Gantner has a strong connec-tion with Asia and seeks to estab-lish strong connections between Asian and Australian art circles through his private ancillary fund.
“I think the arts are a wonder-ful way to build bridges into Asia because the Asians do business based on relationships and the arts are a great way to build relation-ships,” he said.
MK
_LO
TLC
0083
G
It’s hard to describe Earthwise, but to many Subiaco locals it means everything. A hub with a focus on environmental sustainability, it’s a place people can feel part of a caring community. Thanks to one of our grants, they now have solar panels and a water recycling system to add to their permaculture garden, op-shop, low cost food outlet and music space. It’s possible thanks to the Lotterywest games you play.
