Regional expansion for Maltapost plc

By Kurt Sansone

Maltapost expects to see a host of value added services by virtue of the deal struck with Transend Worldwide Ltd, according to Parliamentary Secretary George Hyzler and the company also hopes to expand regionally.

Asked by The Malta Financial and Business Times, Dr Hyzler said that regional expansion was a requisite that the government asked for, from those interested to become strategic partners with Maltapost.

"There is scope for regional expansion for Maltapost plc and the assessment of the strategic partner was based on the ability of the partner to achieve regional expansion for the company," Dr Hyzler said.

He explained that Transend’s brief clearly states that it will provide Maltapost with the organisation, resources, manpower and experience to transform the government-company into a modern commercially successful and internationally oriented postal business.

Dr Hyzler added that Transend was one of the world’s leading postal consultancies, working in 50 countries.

Transend Worldwide will bring its knowledge and experience to Maltapost and the deal is expected to provide training opportunities for employees and professional advice in a number of fields including electronic business and banking.

The deal will also look into the possibility of manufacturing postal equipment in Malta for Maltapost’s needs and possibly for the eventual export of such goods.

The board of directors of the company is composed of three appointees nominated by the Maltese government and two appointees nominated by Transend.

The Chairman, nominated by government is Frank Dimech, who occupied the same post before. Government’s appointees are Mario Mizzi and Antoinette Borg. Robert Drew Stein and Alan George Lodge are Transend’s appointees.

The Maltapost deal has raised the hackles of the Opposition Labour party because of Transend’s failed business venture in South Africa, something, which the company is still getting to grips with.

But the unsuccessful South African project contrasts heavily with the transformation carried out by Transend of the postal service in Trinidad and Tobago.

A joint report by the World Bank and the UPU praised the Trinidad and Tobago project because it transformed the country’s postal corporation from a poorly performing loss-maker to a service orientated and profitable business.