Cape Mohair thrives with solar power and reports record turnover despite the challenges of doing business in South Africa
Cape Mohair, a leading South African manufacturer well-known for its mohair sock range, has achieved an impressive feat by reporting record turnover for the second quarter of 2023. Despite grappling with the challenges posed by electricity shortages and a sluggish economy, the company’s resilience and forward-thinking strategies have propelled it to new heights.
In a bold move, Cape Mohair made the strategic decision to relocate its operations to a ‘load-shedding-free’ zone at the end of last year. MD of Cape Mohair, Johan Gouws, says, “This move was pivotal in curbing production losses and restoring output to its original levels. The new premises have not only reduced downtime but have also enhanced production capacity, enabling the us to sustain jobs and grow the business.”
Simon Berrange, Head of Private Equity at alternative investment company, Anuva Investments who have been instrumental in Cape Mohair’s growth journey, emphasised the impact of this strategic shift: “The decision to move premises has been a game-changer. It not only minimises the disruptive impact of load shedding but the installation of solar power also underscores our dedication to a greener future.”
Cape Mohair’s enduring partnership with Anuva Investments has played a crucial role in steering the company through turbulent times. The investment company’s continued support, including a stake increase to 69% in 2021, facilitated the acquisition of cutting-edge machinery and the expansion of the company’s workforce. These efforts have not only improved production processes but have also fortified Cape Mohair’s position as a prominent player in the market.
As Cape Mohair strives to ascend the value chain and optimise sock production costs, its dedication to innovation and sustainability remains unwavering. Berrange affirms, “Our strategic focus on value enhancement and cost efficiency reflects the essence of our mission. We are committed to advancing the industry while championing a more resilient and eco-conscious future.”