1995
Rectron Holdings was established in May 1995 with a working capital of
just R 1,5 million and four staff members by Taiwanese businessman
Mark Lu. The company operated out of a small 260 sq m warehouse in
Kramerville
1996
Success as a niche market computer components distributor saw the
company outgrow its premises and a move to more spacious offices and
warehouse in Woodmead took place.
During its first trading year the fledgling company posted a turnover
of R 75 million and requests from the dealer/reseller community
flooded in for a broader product range with greater diversity.
1997
Answering the call, Rectron expanded one again, prompting a move to
larger (1200sq m) premises at Kyalami Business Park. The trading year
was again spectacular with growth above 50%.
1998
Spiralling growth meant that office and warehouse space were at a
premium and the staff complement mushroomed and inventory holdings
climbed. Plans were drawn for a purpose built facility, which would
materialise a year and a half later.
In
November, Rectron listed on the main board of the Johannesburg Stock
Exchange (now the JSE Securities Exchange). Of all the IT companies
that listed around this time, Rectron is one of the strongest.
1999
In March, amid much fanfare, the company moved into its own purpose
built warehouse and office complex in Midrand. This represented a 30%
increase over the previous area. But because of the 18-month gestation
period, plans were already in place to extend the warehouse facility.
In
June, Rectron posted its trading results – the first as a listed
company - which were again spectacular. Turnover was R 311 million, an
increase of 61%. Ironically the share price did not reflect Rectron’s
success and the first seeds of doubt as to the viability of the
listing were planted.
This year also saw Rectron launch its globalisation programme, setting
up operating centres in Holland, Australia and the UK. This programme
has had positive spins off benefits for Rectron, although the Dutch
branch became a casualty of the global economic down turn two years
later.
2000
June marked Rectron’s second year as a public company. Again the
results were impressive. A 50%-plus growth with a significant profit
posting. However, once again the market’s myopic perception of Rectron
was reflected in a share price mired well below what experts agreed
was its true value.
2001
The now-familiar growth pattern again forced Rectron to increase the
size of its premises – an easier task since the land and buildings
were Rectron owned. The increase was significant – to 10 000 sq m.
Occupation was taken in February.
The year marked Rectron’s partnership with a number of new vendors and
the addition of key brands – such as Intel, Maxtor and Handspring - to
the portfolio.
Rectron’s growing stature in the distribution market was reflected in
its results. Described as a sparkling year, despite enormous pressure
from a declining market and negative sentiment in certain quarters,
Rectron again posted significant growth and profits.
In
November, the distribution arena was rocked by the closure of Siltek
Distribution Dynamics (SDD). The resultant shockwaves are still being
felt, as vendors look for new channels to market.
2002
On-going changes to the distribution dynamic saw Rectron sign an
agreement to distribute Logitech peripheral products and the
world-leading Toshiba brand of notebook PCs as well as HP.
|
