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BLUE LABEL
INTEGRATED ANNUAL REPORT 2017
/
20
“Blue Label
continues developing
a rich ecosystem,
enhanced by recent landmark
acquisitions which expand
both its supply chain
and distribution
footprint.”
Dear stakeholders
The Group continues delivering on its
strategy of distributing secure fintech
products and services to the main
consumer market in emerging
communities in South Africa, India and
Mexico. This year marked a significant
enhancement in Blue Label’s business
model as it embraced a number of vertical
integration opportunities in its ecosystem.
Blue Label’s participation in the
recapitalisation of Cell C in which it
acquired a 45% shareholding, as well as
its two-stage acquisition of the entire share
capital of 3G Mobile, will expand both the
Group’s supply chain and distribution
footprint. In July 2017, 200 million
unissued shares were placed under the
control of directors for the purposes of
funding an element of these transactions.
Acquisitions are considered according to
a number of criteria, including synergies,
earnings accretion, additions to the
product line, enhancement of the
distribution network or geography and
which benefit the Group strategically.
Chairman’s report