We would love to hear your thoughts about our site and services, please take our survey here.
Yesterday was transformational for the company. You would expect to be sat on at least double 3p but its symptomatic of a fast rise off such a low price in anticipation of the contract. It will go again once the ones who took a punt are out.
Middle of next week after the investor calls, that gives time to allow quick punts to exit and some press and promotion.
WSG is still a relatively unknown company.
DRC is extremely rich in natural resources and has the potential for sizeable economic growth. I look forward to Westminster having a long-term presence in the country and in playing our part in the successful growth and security of the country's numerous airports."
Commenting on the development, RVA Chairman, Prof. Tryphon Kin-Kiey Mulumba, added: "The Government of the DRC and the RVA are committed to creating world-class airport operations within the country, which will create economic benefits for the country and its citizens.
"We have been impressed by the professionalism and expertise shown by Westminster and we see partnerships like this with leading global organisations, as a key part of this strategy."
Procative invs
Westminster Group said it has ratified a ten-year plus multi-million-pound contract, for security services at five airports in the Democratic Republic of the Congo or DRC.
Contracts were officially signed today during the UK - DRC Trade and Investment Mission, at a formal ceremony in Kinshasa by board representatives of both Westminster and the airport authority, La Regie Des Voies Aeriennes (RVA).
Present were various government officials and dignitaries including Lord Popat, the UK Prime Minister's Trade Envoy; John Humphrey, His Majesty's Trade Commissioner for Africa; HE Alyson King OBE, HM Ambassador to the DRC; and HE Ndolamb Ngokwey, Ambassador of the DRC to the United Kingdom.
Through the contract, Westminster will provide comprehensive ground security operations, initially at four international airports and one national airport in the DRC.
This will include advanced detection, surveillance and screening equipment plus maintenance, training and support.
As part of the programme, Westminster will also establish an aviation security training academy to provide certified training to international standards for all aviation security ('AVSEC') staff.
Westminster added the managed services model it has successfully deployed elsewhere in Africa is the basis of the model.
Revenues will be driven by embarking passenger numbers using the airports and funded by a per passenger fee, denominated in US$, collected through the ticketing system and payable directly to Westminster by the airlines or IATA.
“Based on current international embarking passenger levels, the contract is expected to generate revenues of circa US$10m in the first 12 months of operation,” said the statement.
“In addition, there is an opportunity under the contract for further revenues, in due course, from domestic traffic and cargo screening operations.
A 90-day transition period is included in the contract to allow for operational planning and recruitment processes to be completed with operations to commence formally in July 2024.
Initial funding for the project will be from Westminster's own resources with several options under consideration focussed on project-based debt capital.
Peter Fowler, Westminster's chief executive said: "I am delighted to be able to announce this important new contract during the UK - DRC Trade and Investment Mission.
"The Democratic Republic of the Congo is a key addition to our international aviation security services, and we believe the country has exciting growth potential.
With a surface area equivalent to that of Western Europe it is, by area, the largest country in sub-Saharan Africa, the second largest in all of Africa, and the 11th-largest in the world.
It is also the most populous Francophone country in the world. Air travel is therefore an important and a necessary requirement within this vast country.
DRC is extremely rich in natural resources and has the potential for si
Trade delegation meetings in Drc today and tomorrow. Wsg have investor calls next week.
Chance of Rns before calls had to be very high.
Dont blame folk for taking profit. Someone sold a chunk early doors and took a few bed wetters out with them. Good churn.
Tema wasnt an airport. A shared job with scanport was always going to cause friction.
The long running contract at Freetown airport in Sierra Leone is a better comparison. Wsg have come through Ebola and Covid during their term and with flying colours and its flourishing under new management.
Seems nailed on?
I had a quick read over to refresh my memory on DRC.. a few notes mate fwiw. Happy to be corrected.
20 Year Multi-Million USD Managed Services Contract covering
5 Airports in the Democratic Republic of the Congo.
The contract, which is for an initial period of 20 years, with a 5-year renewal thereafter, is to provide comprehensive ground security operations, initially at 4 international airports and 1 national airport in the DRC.
2021 passenger numbers (without covid) £12m pa revenue at 60% margin . Very Likely to have grown in the last 3 years. (WSG total revenues 2022-23 £9.5mil)
Once this is running WSG revenues will increase to circa £22mil-£25mil. WSG are currently around around B\E so should see profits in the region of £7mil plus gross with this contract?.
The contract was signed in 2021 but was subject to ratification. Lengthy delay since. (Nothing new here)
The recent Interim results on 28/3/24 gave an update on DRC and other “near term contracts”
“our project in the Democratic Republic of the Congo (DRC) for which I am delighted to announce that the long-awaited ratification process is currently being completed, being the final part of the formal procurement procedure for the now 10+ year contract signed in June 2021 for security services to 5 airports in the Democratic Republic of the Congo ('DRC'), Central Africa. Arrangements are now being made for a senior Westminster team to travel to the DRC with a UK Government Trade delegation in April to hopefully finalise matters and to prepare for commencement of the project. We expect to make a further announcement after that visit.”
The meetings are well documented to be taking place this week.
Hence the recent rise which should gather pace once signed. How much is WSG worth with £25mil revenue and £7m profits?
mcap currently £11mil.
Is that a ramp ? I remain sceptical but hopeful.
Planetsaligned, as explained this is just the second quarter figures . A period when plant is maintained which is necessary but causes downtime and results in lower production.
Cash is down but still very healthy at $70mil given they pay a divi, and are using cash to finance karo and now spending to buy back £5mil of shares. Tharisa wouldnt undertake that without a healthy balance sheet.
Hi mike only had a quick look but the main DRC airport pax was 770k in 2014. Now around 1mil but capacity for 2m. New terminal takes it to 3mil. As i say only time for a 5 min look but those were initial findings.
I think your figures are 10 years out of date. Might be wrong.
Wonder if Harold Hadrada ever looks in? Remember his 12 hour shifts doing a full commentary on every buy, level 2 and how east Africa was imminent ? 2012 i think. Best ramper ive seen on Lse. The price was 75p up to 90p tops from memory after PF did an i/v with Mr “know the game”
14 years on here we are at 3p.
Director buys rarely prop up a share price for long, if at all, especially if the company fundamentals are poor. Yet punters often scream for them.
It sometime since i traded cpi. Back on watch and maybe interested if it falls further over the next few sessions
I think my last post on cpi, some time ago, expressed my view that this is a traders share and not a viable long term investment.