The Northwest Transport Investments (Soc) Ltd was established in 1973 as a parastatal company solely owned by the North West Provincial Government. The NTI Group, through its subsidiary Northwest Star, was the primary source of transport in the North West Province since its inception during the days of the erstwhile Bophuthatswana. With the growth of the company, transport services were also extended to the areas of Limpopo, Mpumalanga and Gauteng provinces to thousands of commuters.
1999 - 2009
The company experienced financial difficulties during the late 1990s and subsequently employed the services of a new Executive Management team with a view to turning it around from its financial difficulties. The company was then put under provisional Judicial Management on 16 March 1999 as a strategy to avoid liquidation. The provisional order was later made final by the high court of the North West Province on 23 August 1999 and remained under judicial management for almost 10 years.
Since 1999 various strategies and action plans were implemented to turn the company around which, inter alia included fleet reduction and retrenchments. The company retrenched 940 employees in March 2000 and a further 270 in September 2000.
The bus fleet was also reduced by about 300 buses which operated on unprofitable routes. These actions were supported by
the judicial management process inclusive of the creditors and the shareholders.
The company has turned around the loss making trend and started making profit during the 2002 financial year and was then ready to be privatised as was initially intended but for its virtual insolvency.
The restructuring and privatisation of the company to clear any insolvency status started during August 2004 where the western and far western operating centres and operations were sold to private operators in a structured privatisation process. Negotiated contracts were awarded to the successful bidders. The privatisation was carried out under the auspices of a Project Management Team consisting of representatives from National Government, Provincial Government, Board of Directors, Management and Labour.
The Far West Operations that were subsequently privatised included Mmabatho Bus Services together with Bophirima Transport, Tlhabane Bus Service with Mogwase and Lehurutshe Depots as well as Thari Transport.
The above privatization process was completed at the end of September 2004. A gross amount of R188 million was realized from the sale of the western operations and the company and its subsidiaries were finally in a solvent position.
Following the privatisation process the Judicial Management Order was subsequently lifted by the Master of the High Court on the 26th August 2009 and the company handed back to its shareholder – The NORTH WEST PROVINCIAL GOVERNMENT which has appointed a new Board of Directors.