ICT infrastructure management specialist Integr8 IT has today announced its acquisition by Business Connexion at an estimated R126 million (approx US$15 Million).
Established in 2001 by Robert Sussman and Lance Fanaroff, Integr8 IT is a renowned leader of annuity based infrastructure management and managed services to the mid-market corporate throughout South Africa and Africa.
Sussman says that the company has always been an attractive acquisition target given its unique positioning – with a stream of offers from companies looking to acquire, merge or list the ICT Company.
“This deal makes real sense to Business Connexion and Integr8 IT, as well as our respective personnel and clients. For the first time in South Africa, there is a company with 7,000 highly skilled personnel spanning the continent, which scales the delivery of its services from the mid-market corporate to enterprise space.
“This is a unique and compelling offering for our joint customers, who are able to experience the benefit of Africa’s largest IT company”, said Sussman
He added: “I am excited from where we have come from, I am hugely excited about where we are today, but this pales in comparison about the excitement I feel for the opportunities that will arise whilst working hand-in-hand with BCG and all of their subsidiaries.”
The company owns and operates the only African based Nerve Centre, a digital hub of people, technology and process, that regulates, monitors and maintains the technology infrastructure for many leading corporations.
Benjamin Mophatlane, CEO of Business Connexion Group, commented on the acquisition saying it is an absolute pleasure to announce the transaction between the two enterprises.
“The rationale behind acquiring Integr8 IT is to strengthen our market depth and breadth within the mid-market corporate clients, which is experiencing huge growth within the South African and African Markets,” he said.
“Rob Sussman, Lance Fanaroff and their team bring entrepreneurial flair and proven management and leadership capability to allow even broader benefits for Business Connexion, where Business Connexion can further extend its offering into the mid-market corporate. Integr8’s strong delivery via their Nerve Centre brings additional infrastructure and managed services capability to this market and is also hugely complimentary to the Connexion Zone strategy,” he further added.
Joint-CEO Fanaroff speaks of global opportunities for both Integr8 employees and Integr8 customers, considering it to be an immediate effect of the acquisition, along with the ability to scale, promote and leverage the wide breadth of services that exist in this formidable force.
“Integr8 IT has had the luxury of organic growth over the past decade and it has been built with a balance of entrepreneurial innovation and corporatisation. The intellectual property and structural capital, together with the technology specialisation and critical mass developed over the years, has given Integr8 IT unique positioning in the midmarket corporate”, said Fanaroff
“Over and above the depth and breadth of our services, together with BCX, our South African and African footprint allows us to scale our offering with the offerings of the multi-nationals and enterprise ICT players in the public sector and broader African market,” stated Fanaroff.
Matthew Blewett, Business Connexion Chief Operating Officer and Head of Mergers and Acquisitions’, said, “The Business Connexion Group has a very clear growth strategy and the acquisition of Integr8 IT supports this by allowing the Group to expand its offerings into identified markets where it currently has a minimal share. Ultimately, for a services–oriented business like ours, its greatest asset is its people.
“Integr8 is a business that is well renowned and has won numerous awards. As recent as last week Integr8 was voted the Microsoft Mid-market Partner of the year award for 2012. We are extremely proud and privileged to welcome Integr8 to the Business Connexion Group,” added Mophatlane.