Presentation on theme: "Taking the Complexity out of Logistics.. Your Freight Management Partner."— Presentation transcript:
Taking the Complexity out of Logistics.. Your Freight Management Partner.
Executive Summary WEBSITE: www.simtex-intl.com Simtex International Ltd is a leading provider in the UK for the arrangements of the secure worldwide shipping of hazardous cargo, in particular haz cargo categorized as class 1 and defence materials. Secure: Safe under transport regulation (IMDG, IATA, ADR); Legally authorized by the competent Authorities and Governing law - enforcement bodies Shipping of the goods is always undertaken by third party carriers, which are contracted by Simtex The company holds all accreditations and certification required to act as provider of defence and Class 1 cargo, in addition to the other less onerous class of Haz mat. Gaining accreditation requires successful completion of vetting and training –barrier to market entry and a competitive advantage Simtex also offer storage and section 5 compliance Clients are predominantly ministries of defence, defence manufacturers and contractors. Simtex has long established relationship with its majors clients Significant sales arise from private security firms and dealers, agents and pharma / Vet companies The companies operates form one office in Eastleigh, Southampton and employs 7 people.
Business Overview Our Mission To be the partner of choice in providing comprehensive solutions and services to our customers, We bring value to our customers and partners through the delivery of total integrated and quality solutions and support, striving for Excellence Our Vision To be the world-class leader in providing Logistics Solutions to the Explosive and Defence Sector
Business Overview History of the Business Late 1990s Peters & May (Dangerous Goods) Ltd (PMDG) is incorporate as subsidiary of P&M Ltd December 2005 Constantine Group plc acquires P&M group of companies. FY 2005 PMDG represent less than 5% of total P&M Ltd Business with a EBIT of £ 96,000. January 2008 Luca Coppola is appointed as Managing Director of PMDG to manage a rapidly growing business In FY 2008 PMDG had gross profit of 2.8 Million and EBITR of £1.9 million September 2008 CG (through PML subsidiary) acquires 100% of Simtex International Ltd, Oxford based direct competitors to PMDG, though several synergies and business complementation identified September 2009 The assets and business of Simtex International are transferred to PMDG. Thereafter PMDG is re-named Simtex International Ltd Undergone marketing re-vamp and drive: re-brand its image, launch website and actively exhibit or attended critical exhibit/shows May 2011 > Simtex is de-merged form Peters and May group to become subsidiary of Simtex Logistics Ltd, holding company 100% owned by CG.
Business Overview The service provided by Simtex is the arrangements, packing and shipping of hazardous cargo, in particular cargo categorized under class 1, of the IMDG and IATA, Dangerous good regulations, and defence equipments and materials. Under category Class 1 there are also products for commercial end use: Mining and sporting The movement and transport of the goods, be it by Sea, Air or Road, is always undertaken by and thorugh third party carriers. By strategic choice, the company is asset light: it does not maintain fleet of vehicles opt other physical assets. Its principal asset lays with Human resources, the team of professionals who in addition to the competence, experience and expertise, gained through years of managing this business, offer therefore extensive knowledge of operational feasibilities, constrains and regulations for the movement of dangerous goods. Given the sector in which we operate, we like to illustrate our HIGH SPECIALIZED SKILLS through the analogy: SIMTEX IS TO FREIGHT FORWARDING WHAT SPECIAL FORCES ARE TO THE ARM FORCES The Simtex Proposition
Business Overview Regulations The transport of Dangerous Goods is strictly controlled by health and safety regulations of IATA – for Air-, by IMDG -for Sea-, and ADR –by Road-. All trades, and the relevant shipments related to Defence products and equipment, are regulated by the countries competent Authorities, which in most cases are mandatory. EUC stipulate and ensure compliance with NATO/U.N. guidelines, based on todays fast changing geopolitical status. Additionally, for trade of military hardware, in UK, each party must possess a licence issued by the Home office, under Section 5 of the Firearms Act, and the transfer cannot take place without such licence. For explosive possession-handling and movements, even commercial, a specific licence to acquire and keep is required. These licences are difficult to obtain, requiring continuous and strict vetting and strict operating and reporting procedures approved by local constabulary and Home Office authorities. For cross-trades, transactions originating and terminating outside UK, whilst each country has its own legislations and system of control, which, whilst may vary form those of the UK, retain rigorous measures of control. These, for most of the Western Nations are along the guidelines provided by the Intl Agencies such as NATO and UN.
Business Overview Accreditations Home Office Authorities to possess and transport prohibited Arms and Ammunition (Sec 5 of the Fire Arm Act). Police Authority to acquire and keep explosive (MSER 2005) HSE Authority to transfer explosive (recipient competent Authority) IATA Listed Agent DFT appointed listed Cargo Agent DFT Approved DGSA Qualified Radiological Protection CDI Approved ISO 9001-2000 certified Waste Carriers and Brokers Licence (Pollution Amended Act 1989)
Revenue and Clients Ministries of Defence In some cases MODs are the actual-direct clients, more often, the client is the manufacturer or contractor acting on behalf of the MODs. Taking the broader definition...40% of all sales are for MODs. Defence Contractors –manufacturers Accounting for 34% % of total sales, many of these trade relate to the provision or raw material (being bulk explosives, propellant powders or components –empty shells- Clients include large defence contracts (BAE system) and smaller companies in more specialized areas Agents Approximately 10% of Sales is to other logistics provider who subcontract specialist work to Simtex Private Security Firms The clients include dealers and subsidiaries of international security companies (G4S) providing security in politically volatile areas (Iraq, Afg. Gulf of Aden) Pharma, Vet and Chemical Pharma, Vet and Chemical account for 10% of total sales, and relate to hazardous amnd/or sensitive products. Commercial Explosives Commercial explosive, for use in construction and mining industries, as well as sporting gun dealers