JSE-listed Allied Electronics (Altron) has secured Competition Commission approval for its R360-million acquisition of identity security company Ubusha Technologies.
Through subsidiary Altron TMT, the group, in December, entered into the deal with Ubusha’s holding company Gydan Investments to buy the identity security provider in an effort to strengthen its existing capability in the information technology (IT) security market.
“This acquisition was the springboard for the creation of a new division, Altron Security, which will allow us to begin to offer solutions in identity management,” said Altron CEO Mteto Nyati in a statement on Wednesday.
Security is one of Altron’s growth areas and the acquisition will give impetus to the company’s strategy and growth targets, which also include cloud, the Internet of Things and data analytics.
The transaction will enable Altron to offer customers a securely managed identity profile for their clients across devices, platforms and locations, while Ubusha will have access to new markets and customer segments.
Ubusha enables dynamic authentication and authorisation, identity management and governance and privileged account security for local and international banking, financial services, insurance, telecommunications and retail customers.
“Identity security is increasingly important for individuals and businesses alike, and this unique identity management technology will help our customers manage personal data profiles securely, in line with data privacy compliance and governance laws around the world,” he concluded.