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DiData continues acquisition trail

Staff Writer
By Staff Writer, ITWeb
Johannesburg, 21 Oct 2014
Acquisitions are key for DiData to boost revenue, says Derek Wilcocks, DiData's Middle East and Africa CEO.
Acquisitions are key for DiData to boost revenue, says Derek Wilcocks, DiData's Middle East and Africa CEO.

Dimension Data is adding two entities to its stable as it moves ahead with its growth strategy of doubling revenue by about 2018.

The company, which currently turns over $6 billion, has bought Agile Business Solutions, a privately owned consultancy that implements, maintains and supports PeopleSoft and Oracle Human Capital Management systems. It has also acquired Xpedia Fusion, an Oracle ERP and business systems solutions provider. It did not disclose the value of either deal.

The Agile-Xpedia combination will be part of Dimension Data Middle East and Africa's Application Services business, a unit created last year through the merger of Dataflo, Core People and Dimension Data Application Solutions.

Dimension Data says the deals give it immediate scale in the Oracle suite of applications and "significantly enhances Dimension Data's credentials and positioning in the South African application services sector".

Earlier this year, it bought NextiraOne, a European multinational company that designs, installs, maintains, and supports business solutions and communications services for more than 43 000 private and public sector clients throughout Europe.

At the time, Derek Wilcocks, DiData's Middle East and Africa CEO, said acquisitions are key for DiData to boost revenue, and the group has the backing of parent company NTT, which bought the firm towards the end of 2010 for $24 billion.

Investing in talent

Donovan Lawrence, executive of Application Services for Dimension Data Middle East and Africa, says the purchase of Agile-Xpedia "is an investment in skills and expertise, and gives us increased capability and resources to support clients, and our growth". He notes it boosts Dimension Data's ability to provide IT-as-a-service into the Middle East and Africa market.

The acquisition of the two organisations will see the Application Services division expand its Oracle service delivery capabilities with the addition of 72 "highly-skilled Oracle experts," the company says. It also opens the business to new markets, such as tertiary education, telecommunications and financial services.

"The capabilities of both the companies we have acquired complement our existing services and skills sets the team has here in our Johannesburg and Cape Town offices," adds Lawrence. The Agile-Xpedia team will be integrated into the Dimension Data offices in time and both companies will continue to operate as they do today.

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