Amalgamated group provides integrated offering

The Bidvest group last week announced
that it was to amalgamate its Safcor
Panalpina and Rennies Distribution
Services (RDS) subsidiaries from
December 1.
This tie-up, said MD of the new
company, James Reddy, is intended to
create a combined entity with a global
service offering.
“Over the past few years RDS
and Safcor Panalpina have played
significant roles in contributing
positively to the performance of
the Bidvest freight division,” he
added. “While Safcor Panalpina has
operated primarily in the clearing and
forwarding industry, RDS has built up
a warehousing and distribution network
for clients across 20 locations in South
Africa.
“With many of our clients requiring
a more integrated supply chain and
logistics service offering, it was a
logical conclusion to bring the two
companies together.”
But, despite the amalgamation,
a cost-cutting rationalisation of
the employees is not on the books,
according to Jenny Retief, services
executive of Safcor Panalpina.
“There are no retrenchments planned
for the joint staff complement of close
to 1 500 nationally,” Retief told FTW.
“And, while David Leisegang, current
MD of RDS, has been appointed MD
of Bidvest-owned Island View Storage
(IVS), all the other management will
keep their present positions.
“There is no conflict between the
staff skills of the operations, so there is
no need to cut the staff,” Retief added.
For similar reasons, the physical
assets of each organisation will remain
the same.
“We don’t intend to consolidate any
of the premises,” she told FTW.