In a rather significant announcement, local ICT specialists Gijima has confirmed that it will acquire the business of T-Systems South Africa (TSSA), with the deal still pending Competition Commission approval.
“This transaction is the result of T-Systems International’s strategic review of its global portfolio and its decision to refocus on its core markets in Europe and the Americas,” explains a press release sent to Hypertext.
“The transaction will enable Gijima to have access to international IP, expertise and best practices whilst ensuring Gijima’s current and new acquired clients receive top drawer innovation, best in class service delivery, business efficiencies, security know-how, and lastly securing numerous jobs from the impact of COVID-19,” it adds.
The local firm notes that the acquisition is part of a turnaround strategy which focuses on organic growth, as well as strengthening its relationships with global OEMs and IT service providers.
“We are proud of the growth of our business. The transaction is in line with our strategy of servicing our customers in the new digital era. Our main focus remains the organic growth of Gijima, through working closely with our existing clients by continuously being innovative and increasing efficiencies,” says group chief executive, Maphum Nxumalo (pictured above).
The result of the acquisition will now see Gijima own a Tier 3-level data centre, along with expanding its portfolio of services to new markets and clients such as retail, manufacturing, private healthcare and automotive, the company says.
“Gijima is a good fit as a new local owner of the TSSA business. This transaction will see two Level 1 BEE leaders, with long ICT heritage in South Africa, coming together for the mutual benefit of customers,” adds T-Systems South Africa MD, Dr. Rajan Padayachee.
Upon the acquisition approval from the Competition Commission, the staff members from T-Systems will join the 2 600 existing workforce of Gijima.