Conlog awarded R6,4 million Netstar deal.

Dec '99 News

Conlog, a subsidiary of the JSE-listed Conlog Holdings has announced that it has been awarded a R6,4 million contract by Netstar, a wholly owned subsidiary of the listed Allied Technologies Limited (Altech), to supply and manufacture specialist electronic vehicle tracking and recovery systems. This contract confirms Conlog’s planned expansion in the contract-manufacturing arena.

“The high technology contract manufacturing industry is growing at a rate of 25% per year. The reason for this is that electronic companies are focusing on their core activities such as design and development, while outsourcing manufacturing. Companies are looking for trouble-free manufacturing, where they do not have to worry about the logistics and quality of manufacturing, transferring that responsibility to a third party,” says Cuan Watkins, Conlog’s Contract Manufacturing’s Divisional Manager.

“Conlog is in an ideal position to provide this service and in a cost-effective manner as we have invested in state-of-the-art electronic manufacturing equipment and already produce products that comply with all of the major international quality standards. In addition, Conlog is one of the largest purchasers of electronic components in South Africa and this puts us in a very favourable position to be able to procure components at favourable prices for our contract customers,” says Watkins.

“The deal with Netstar is another successful contract manufacturing initiative into which we have made a substantial investment and is in line with our strategy to increase expansion into this market,” says Watkins.

“Netstar conducts all its own technology research and development in-house, but chose Conlog as one of its key manufacturers of its hi-tech products,” says John Edmeston, Managing Director of Netstar.

For details contact Cuan Watkins, Conlog on tel: (031) 268 1111 or John Edmeston, Netstar on tel: (011) 652 5841.

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