| Tue 21 Nov 2006, 10:50 | | Sekunjalo - Sekunjalo pumps up ICT division - take |
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SKJ
SKJ
Sekunjalo - Sekunjalo pumps up ICT division - takes 50% stake in Saratoga
Sekunjalo Investments Limited
(Incorporated in the Republic of South Africa)
(Registration number 1996/006093/06)
Share code: SKJ & ISIN: ZAE000017893
("Sekunjalo" or "the group")
Press Statement
21 November 2006
Sekunjalo pumps up ICT division - takes 50% stake in Saratoga
JSE-listed Sekunjalo Investments Limited, South Africa"s top empowered company
in 2006, today announced a further acquisition in its ICT division as it
prepares to list the division on the JSE in the second half of 2007.
Sekunjalo has acquired (50.1%) of Saratoga, a software and services company.
Sekunjalo will pay fifty percent of the acquisition price for Saratoga in cash
on completion of the transaction and fifty percent against warranted profits
being achieved over the next three years.
Sekunjalo deputy chief executive officer Norman Noland said Saratoga would be
placed alongside FIOS and Synergy Computing in the group"s ICT stable, thus
lending weight to Sekunjalo"s ability to sell comprehensive ICT business
solutions as opposed to products.
"Collectively the operating businesses in our ICT division have a client base
that covers the majority of South Africa"s large corporates. We see significant
upside in our ability to cross sell products and solutions into the combined
client base," he said.
Noland said this augured well for Sekunjalo"s stated strategy of unlocking value
at group level by separately listing the ICT division in the latter part of 2007
or early 2008. The group"s ICT interests are currently held in Sekunjalo
Informatics and Telecommunications Africa (SITCA), a wholly owned Sekunjalo
subsidiary.
"A SITCA IPO is still firmly on track, boosted by ongoing solid performances at
our existing ICT companies, and strategic acquisitions such as these announced
today," he said.
Saratoga is active in the development of human resources, mobility and call
center technology. The company, which is part of the Saratoga Group, has a
number of South Africa"s top companies on its client list. The group employs 80
staff in South Africa, the UK and the USA to support the development, sales and
implementation of new and existing applications.
Saratoga MD Anthony Robinson said his firm would benefit from Sekunjalo"s
peerless BEE credentials.
"Saratoga is a black owned entrepreneurial venture, with a vision of becoming a
global software and services business. As part of the Sekunjalo Group, the
shareholders, founders and key staff all share this entrepreneurial passion,"
Robinson said.
Saratoga Software has received the prestigious Gold Partner Mobility Competency
from Microsoft, as a leading developer of mobile solutions for both the local
and overseas markets. In addition, Saratoga has been identified as a leader in
mobile technology and has been awarded DTI funding to develop mobile solutions
for the local municipal market known as the Shine Initiative.
"This much anticipated project, which has just reached completion, ties in well
with Sekunjalo"s strong commitment to transformation and public-private
partnerships. The technology will help to improve service delivery and reduce
crippling service backlogs and local government.will be provided with an open or
free license," Noland said.
Saratoga Software has developed mobile solutions for meter reading, work order
management , sales management ,customer management ,surveys and field worker
management that are currently in use in the United States, Middle East and
Africa.
Saratoga"s HROnline is a web-enabled human resources system which allows clients
to deliver services to all their employees and human resource staff throughout
their organization through the internet. The latest Microsoft technologies have
been incorporated in to the development of this system which has already been
implemented in other leading companies such as National Brands and Alexander
Forbes.
Saratoga"s Fuzion call center software provides a complete direct solution for
the sale and administration of various insurance and financial products in a
virtual and paperless environment. Fuzion is well established in the fast
growing Cape Town call centre market and recently penetrated the Gauteng market
en route to becoming a leading call centre management solutions nationally.
Ends
Prepared by: Bruce Hetherington
Beachhead Media & Investor Relations
082 458 2199
On behalf of: Sekunjalo Investments Limited
Contact: Norman Noland
Deputy CEO
Sekunjalo Investments Limited
(021) 702 7700
Zenariah Barends
Executive director
Sekunjalo Corporate Services
(021) 702 7700
Date: 21/11/2006 10:50:36 AM Produced by the JSE SENS Department
