Around 1920, John Attwood designed and patented a metal framing system which was named Unistrut. The system was unique in that, by means of a lipped channel (P1000), a series of brackets and a serrated edge spring nut, one was able to construct a mechanically sound metal-framed structure. The unique feature being that the only tool required was a spanner. This strut system has evolved and spread throughout the world over the last century basically unchanged.
In the early 1960s, Henry Wildsmith brought Unistrut to South Africa from its parent company in the UK, GKN Sankey. Thus began in the 60s and 70s the remarkable evolution of ducting products as opposition to tubular conduit in the electrical industry. GKN grew unopposed until 1984 when, like so many overseas companies, it withdrew from South Africa due to political reasons. The local company, with all its assets, was sold to the entity known today as O-Line. More importantly, they were given a total monopoly.
Cabstrut was founded in 1991, its primary function to supply the Voltex branches around the country who had become frustrated with O-line appointing them as distributors and then continuously bypassing them directly into the market whenever big projects came around.
Founder and CEO for the first 21 years, Jannie Louw recalls: “I was given a blank cheque book and on 1 April 1991 we opened at 102 Main Reef Road. We established supply agreements with many of the former GKN suppliers and bought out their stock. In May, our first month of trading, we achieved R1m turnover! We had no sales staff, just stock and product expertise, but were inundated with enquiries and orders from around the country. Branches collected orders continuously, and in most cases, we had no idea who the end customers were.”
Cabstrut had a growing brand reputation, and together with the Voltex branches who had a huge established customer base, successfully focused on the commercial market.
The next few years saw exponential growth with the financial backing and customer base of the now Voltex Group. Cabstrut branches opened in Durban, Cape Town and Pretoria. The Johannesburg branch moved to 350 Main Reef Road and in 1996 bought the assets and remains from the liquidated Electroduct, and suddenly Cabstrut not only gained a sales and marketing team, but also a factory.
From casinos to contacts and more contracts
Over the next three to four years, Cabstrut successfully exploited the developing casino market and established a close relationship with many of the major Voltex customers. This led to large contracts in virtually every shopping mall around the country, the airport expansion contracts, hospitals and buildings such as the FNB/Wesbank headquarters in Fairlands, along with Vodacom and MTN.
By the early 2000s, Cabstrut became serious opposition to O-Line and was approached by First Tech for a manufacturing and distribution agreement. This resulted in an agreement whereby Cabstrut became the marketing, stocking and distribution operation for First Tech, thus inheriting its entire sales staff. In return First Tech took over Cabstrut Manufacturing and became the preferred, but not sole supplier to Cabstrut.
During the next 10 years, Cabstrut established itself as the market leader in the industry with the manufacturing capacity of First Tech, investment in new product designs, technical backup and great marketing material (catalogues and pricelists) being the building blocks for this success. This resulted in Cabstrut obtaining most of the major projects towards 2010, including major mining contracts, the World Cup stadiums and the Gautrain which included the design and development of the unique platform service’s ducting. The Gautrain contracts finally reached a value of close to R50 million.
In 2012 Jannie Louw retired as CEO after 21 years, leaving behind Cabstrut as the leader in the industry. He was replaced by Theon Steyn, previously managing director of O-Line.
Although it was not Voltex policy or philosophy to get involved in manufacturing (they are wholesalers by trade), Steyn felt that Cabstrut should have control over its own destiny and therefore its own manufacturing to succeed long-term. Opportunity came quickly; in 2013 the First Tech empire collapsed as spectacularly as it had grown. Cabstrut had to quickly find alternative supply, and agreements were reached with the next two biggest manufacturers in the market, AC Support Systems and Vera Cruz. Both these entities were finally purchased and gave birth to VSP (Voltex Steel Processing), giving Cabstrut full control over its own manufacture, and destiny.
In addition to the above, Cabstrut also purchased Execuduct (PVC powerskirting), and with a reverse manufacturing agreement with Sealcool, secured distribution rights to its (Sealcool's) Platinum range and thereby completely dominating the PVC powerskirting market. This period also saw the establishment of Cabmed, a medical supply company specialising in medical gas reticulation and bed-head units as well as the purchase of Lighting Structures and Smart Solutions specialising in the manufacture of high masts and street light poles.
By 2017, Cabstrut was streets ahead of anyone else in the industry, not only by diversity, but also in the traditional strut market. “Having our own manufacture means full control and with our buying power we can get material at the most competitive prices, we can plan and change as we like, which ultimately results in total customer satisfaction. It was key to get to this point,” says Steyn.
The rapid growth also required new premises, and by the end of 2018, Cabstrut moved into its new state-of-the-art warehouse in Alberton. More focus was given to both internal and external service levels and the entity's ISO9001 certification was changed from local SABS to internationally accepted BM TRADA.
In 2019, Cabstrut purchased the electrical conduit division of Bosal, “our best buy ever,” notes Steyn. “It was a perfect string to the bow. Cabstrut is now perfectly poised for the next 30 years. We have become the undoubtable market leader and our secret is simple; be the best customer to your suppliers and be the best supplier to your customers.”
Cabstrut today
“We're in a good place at the moment,” says Steyn, “The company has grown considerably over the last 10 years, mainly due to our belief that both our customers and suppliers are the most important partners to our business. We believe in the personal touch and in partnerships with our major customers instead of being mere suppliers of strut. We believe in experience and knowledge and having the right people in the right positions. Our senior management team individually have an average of 25 years’ experience in the industry.
“Further to the above, we believe in quality products and service. This has landed us major international projects, mostly in Africa, but also Panama, Dubai and Hong Kong. My favourite and our most prestigious must be The Supply of Cable Brackets, Pipe Supports, Sunshields and Handrails for the Shatin to Central Link in Hong Kong. Eleven kilometres of trackside auxiliaries including 144 000 cable brackets, this project was done with GTECH Services for MTRC Hong Kong, the company with probably the highest quality requirements internationally. First world experience like this is priceless.
“The way forward for us is therefore to do more of the same and to do it better every time. Cabstrut's turnover has increased dramatically and our focus in the foreseeable future will be to increase our manufacturing capacity accordingly. It is very nice to have our own factories and to have full control, but it does bring added responsibility to the table. We are anticipating considerable growth in the industrial, mining and solar sectors and will definitely be ready when the time comes.
“From a sales and marketing perspective our principles are sound, we supply both the industrial and commercial markets and we supply the complete product range. Cabstrut is ISO listed and we live by these principles. Our strength is the supply of the larger projects. We are best equipped to handle these and have proven so in the past. During the last round of solar farms, we supplied four of the six, all of them running concurrently. We are currently supplying four data centres, three in Cape Town and one in Johannesburg, again, all at the same time,” he says.
Cabstrut's new building is a great asset. It has completely changed the way the company works and allows the company to do a lot more with less people. The warehouse is state-of-the-art, and the company have moved away from large area/low stack to small area/high stack, quite revolutionary for the product range.
“Our acquisitions have been great, but Bosal has been exceptional,” says Steyn. “What a wonderful product range to have; not only has it increased our sales, but it has opened new doors for us and introduced us to customers we haven't dealt with before. Everything is therefore in place; we have grown substantially and are undeniable market leaders in all aspects of our industry. It is easy to grow and get to the top, not so easy to stay there. Our challenge for the next few years will be exactly that, to consistently service the market at the levels that we do and to increase these whenever required, and like always, we'll be up for it!” he concludes.
Enquiries: www.cabstrut.co.za
