Reunert, through wholly owned subsidiary Reunert's Information and Communication Technology (ICT) business segment, is set to acquire 74.2% of management and technology consulting firm IQbusiness for an undisclosed amount.
The acquisition of IQbusiness, and its integration into the Solutions and Systems integration cluster of Reunert ICT, creates synergies for an expanded range of complementary offerings, with a significant increase in client access in both the enterprise and small and medium-sized enterprise (SME) space, and improved routes-to-market through both direct and channel marketing relationships.
Key competencies in IQbusiness, which has revenues exceeding R1-billion and a team of over 1 000, include insights, consulting and contracting across consumer convergence in the financial services, retail and telecommunications sectors and manufacturing industry.
“The combination of IQbusiness and Reunert ICT aligns to our strategic intent to create the leading South African ICT company and provides offerings and capabilities in business optimisation, solutions and systems integration focusing on digital business transformation through data science, cloud adoption, artificial intelligence, cybersecurity and the Internet of Things,” says Reunert group CEO Alan Dickson.
This will enable Reunert ICT to deliver end-to-end technology solutions to its 40 000 clients across the key verticals in multiple countries.
“The transaction has been concluded after extensive engagement between our two teams. There is a strong culture and values alignment between our teams and I am exceptionally pleased that all the management shareholders in the IQbusiness partnership have retained their equity investment.”
IQbusiness CEO Adam Craker adds that the combination has a unique proposition to provide strategic value to its clients in South Africa, and internationally, with offerings centred on enabling clients to “win” in the digital economy.
“This acquisition supports Reunert ICT’s growth strategy and enhances our strategic vision of solving business challenges with innovative, high-tech solutions that unlock value for our clients, our companies and our shareholders,” reiterates Reunert ICT segment head Graeme Eddey.
The transaction is subject to the fulfilment of suspensive conditions customary for a transaction of this nature, which includes the approval of the acquisition by the competition authorities.