Dale Capital Group Limited (DCPL.mu) 2019 Annual Report

We have extracted the Chief Executive Officers Statement from the 2019 annual report for Dale Capital Group Limited (DCPL.mu), listed on the Stock Exchange of Mauritius:

Group Performance

I am generally pleased to report continued improvement in the Group’s overall performance during the Financial Year ended 28 February 2019, in spite of numerous challenges as we continue to drive our investments towards a “cash generating cycle”.

Total Assets Under Management continue to increase with healthy growth of 62% (FY 2019: US$11,387,107 compared to FY 2018: US$7,025,344)

Cost of goods sold, Administration and Operating Expenses increased by 55% to US$3,394,709 as a result of real growth. In keeping with the Group’s growth plans, the total comprehensive income for the year has increased significantly to US$498,824 as compared to the previous financial year 2018 when a total comprehensive loss of US$1,026,925 was realised. We are conducting extensive audit of operational costs and we anticipate significant cost reduction in 2019/2020.

Net Asset Value increased by 59% (FY 2019: US$5,152,600 compared to FY 2018: US$3,041,227). Whilst Operating Profitability remains negative at this time due to an increase in operational costs as we increase capacity across our food security businesses and as we continue in our efforts to implement the turnaround strategy in our fishing operation, we are of the view that it is strategically important to focus attention on growth in NAV.

The added focus in 2019/2020 shall be as follows:

  • To recover loan funding from our Mining Investment in South Africa, which entity is now fully operational and producing gold. The agreement allows for a net recovery of US$4 million over 4 years.
  • The long awaited secondary listing in South Africa is imminent and forecasted to take place in October 2019. This will hopefully assist the Group in raising new capital for growth and acquisitions.
  • Plans are in progress to raise additional equity capital in the last quarter of 2019 to fund new acquisitions and investments.
  • Dale obtained approval from SEM in November 2018 to operate an Employee Share Incentive Scheme which will start to be implemented during 2019. The Group operational strategy is to encourage all levels of management and staff to be partners, shareholders and not merely employees.
  • The intention is to proceed with the “spinning off” of Dale Food and Beverage Holdings Limited (Food Division) from the Group and thereafter proceed with the listing of that entity on the Development & Enterprise Market of the SEM. The targeted date to complete the “spin-off” and the listing is mid- November 2019.
  • The re-naming of the Food Division and subsidiaries to the “St. Felix Brand” commenced from 1st September 2019.
  • Significant changes to the Group boards are in the process of implementation in an attempt to have more Mauritius based directors and to “localize both management and shareholders”.
  • The Group aims to, after the expected “spin-off” of its food businesses in the last quarter of 2019, also focus on its Private Equity Diversification investments both in Mauritius (Property Development) and in South Africa (Specialist Financial Services and Information Technology).


In line with Group Strategy, Mr. Frederic Robert was appointed as Chief Executive Officer of the fast growing Group’s Food and Food Security investments in Mauritius and also an executive director on the Dale Capital Group Board.

This appointment is an important aspect of the Group’s succession plan. Branding of our Food Sector Investments under the St. Felix Brand has been implemented as a Strategic Partnership with the Saint. Felix Group. After the inward listing in South Africa, the Investment Pipeline in our Diversified Private Equity Pipeline is significant. Overall another tough year and I thank the directors, management and staff for their efforts. The Group’s rapid growth will soon start to show positive results.

Norman Noland
Group CEO