ANSA McAl Group expands in Guyana

ANSA 2X is the vision of the Ansa McAl group as it moves forward with plans to double its size, scale, returns and impact by 2027. As it expands, the group is placing particular focus on neighbouring Guyana.

"I am seeing some great opportunities in Guyana. The group is already present there and our business is certainly not thought of as a Trinidadian business but is considered part of the Guyanese landscape and family," Group CEO Anthony Sabga III told shareholders at its 94th annual meeting on May 12, at the Radisson, Port of Spain.

With a recorded $160 million before-tax-profit in the first quarter of this year, Sabga III spoke of the opportunities for the group in Guyana.

"Ansa Motors in Guyana recently introduced the Hyundai heavy equipment line to their existing lines of business. The distribution business also celebrated its 30th anniversary last year where I was joined by Guyana’s president and ministers.”

In 2022, the group’s revenue growth increased by 14 per cent in Guyana as compared to nine per cent in Trinidad and Tobago. This was attributed to the expansion of the automotive, trading and distribution sector of the group in Guyana.

Ansa McAl’s media business is also present in Guyana and is poised for further growth. Sabga III shared that the group’s radio station has a competitive advantage as they have the largest reach in Guyana, far beyond any other entity’s capability.

The banking sector is another area where the group is making great inroads in Guyana. Sabga III said, “We have applications of various financial products and financial offerings in Guyana all of which are being viewed and considered quite favourably.”

Guyana is also on the group’s radar as the different sectors seek to expand their operations. This is evident as the manufacturing sector is looking to replicate a chlorine hub model, similar to that in Jamaica, to help capture a larger market share. Additionally, the construction sector in its mandate to boost export capabilities is looking to move one of its concrete block plants to Guyana. Presently the construction sector captures 80 per cent of the market share both in clay and concrete blocks. Lastly the real estate portfolio is also undertaking numerous commercial and residential projects in Guyana.

While the meeting remained focused on ANSA 2X and its expansion strategies, stakeholders did raise their concerns on the Ukraine conflict and its implication for the group. In response, Sabga III said that “the group continues to monitor its supply chain routes and part of the conservation approach the group has undertaken is to secure the supply chain. Ukraine is a fairly sizeable contributor of some of the raw material inputs for the group and the supply chain team have very ably pivoted to other sources. The group is very proactive in this area to keep the operations running.”