FNB hails its banking journey with Truco since the early gold rush
TRUCO is a fifth-generation family-run business. Established in 1892, it is one of the largest suppliers of engineered industrial rubber products on the continent.
Over the years the company has diversified its product range from an initial focus on rubber elbow and knee guards for miners in the early days of the gold rush to raincoats (including being General Smuts' preferred brand during World War II) to ultimately include abrasion-resistant slurry and water hoses, PVC hoses and hose fittings, rubber mouldings and extrusions, rubber sheeting and lining material, ship and harbour wall fenders and a wide range of adhesives for bonding industrial rubber products.
Truco has also become a well-respected supplier to the conveyor belt market and offers a range of textile and steel cord conveyor belting solutions and other bulk material handling accesories to many industries.
Today Truco's products are used across the world in a host of mining, marine, agricultural and other industrial applications.
The company continues to expand and innovate in markets across Africa, Europe, Australia and beyond.
In 2019, FNB Commercial had the opportunity to engage Truco and its management team on their banking and broader financial services requirements.
It was the start of a mutually beneficial partnership where all stakeholders embraced the challenges and worked on a banking solution that met the aspirations of the executive team of the group at Truco.
The FNB Commercial team began this journey by understanding the group's operating model and its broader ecosystem.
These discussions led to a bespoke value proposition that met the aspirations of the management team.
FNB approached Truco from a multi-disciplinary perspective. FNB Commercial presented Truco with a compelling working capital and forex solution that supported this growing international business and a banking platform that seamlessly integrated with the company's operating model. FNB's Commercial Property funding also allowed Truco to acquire additional warehouses to support its expansion plans.
FNB's credit and fleet card solutions powered the Truco networks facilitating efficient payments and tracking.
“FNB is committed to supporting local manufacturing capabilities, and was motivated to offer an exceptional suite of solutions to the Truco Group.
“It was evident that this was a wellrun company with good management and governance and a solid financial history,” recalls Zak Sivalingum, FNB's regional head for commercial sales in Gauteng South and Central.
“Truco's experienced, skilled, driven management team had created an exceptional company culture, and the relationship was a good fit from the start.”
FNB's quick and efficient provision of tailor-made solutions meant that Truco was able to fund its plans for expansion across Africa.
FNB's industry expertise and innovative financing solutions ultimately enabled Truco to secure substantial contracts with existing and new clients that enabled it to continue trading and expand beyond the borders of South Africa.
FNB's commitment to understanding Truco's business ensured that we provided the right solutions to enable it to manage its finances efficiently and grow internationally.
As a result of the success of the project, and the strength of the relationships that has been built, Truco has since migrated its entire banking relationship over to FNB Commercial.
“FNB looked beyond just the numbers in our business to the history, management, values, and strategy to properly understand our needs and how they could help us to achieve our goals,” Martin Cassidy, Truco's managing director, explains.
“When there have been issues the team has been responsive and solved them through a multi-disciplinary approach. FNB doesn't work in silos, they understand that all departments of the bank have to talk to each other to obtain the best solution for the client.
“The support they provided, including the extensive foreign exchange cover, helped us not only survive the recent pandemic, but thrive through it.
“It's a dynamic, evolving world. You need partnerships you can trust, and partners who are agile and experienced enough to accompany you.”
Strong relationships, integrated products and services and deep understanding based on experience and expertise allow for agile responses to increasingly complex and volatile operating conditions.
FNB's ability to bring together specialist teams and product houses to work collaboratively allows the bank to deliver comprehensive, market-leading solutions to Truco and other exceptional South African companies.
By understanding their needs, and providing exceptional solutions, FNB supports companies not just to survive, but to thrive.
We can help you switch, run, grow and optimise your business.