The sky’s the limit in infrastructure market

Companies with unlimited potential are rarities. But Consolidated Infrastructure Group (CIG) is one, and has attracted some of the most astute small-cap fund managers.

CIG has grown headline EPS (HEPS) at a cracking 28,7%/year average over the past five years. It topped this in its year to August 2014, lifting HEPS 36%.

CIG was on few radars when it listed in 2007 as a quarrying firm on the JSE’s ALT-X board. CE Raoul Gamsu then acquired Consolidated Power Projects (Conco) in 2008.

Focused on high-voltage electrical infrastructure projects, Conco has been the making of CIG, paving the way for its main board listing and drive into high-growth Sub-Saharan Africa (SSA) markets. Over the past five financial years Conco’s revenue has gone from R1bn to R2,2bn with its profit growing in tandem.

Gamsu is the first to point out