Accord Technologies will sell its distribution companies to Vestalane Investments for R10 million in cash.
The cash-strapped JSE-listed IT company says it will use the cash proceeds to concentrate and expand its dedicated technology-focused business.
Accord was left reeling after a slow year and a R30 million settlement with the South African Revenue Service in October last year.
This was exacerbated by an overdraft which stood at R75.9 million by September 2000.
Accord will dispose of its distribution interests, including Pactel, Telecel, Multimedia, its 50% interest in Wireless Courier Services (WCS) and its entire holding in Quick Card Cellular.
Pactel, WCS and Quick Card form part of Accord`s distribution division conducting the sale and distribution of cellular phones, accessories and prepaid airtime on behalf of MTN, Vodacom and Telkom.
Telecel and Multimedia were responsible for the sale and distribution of Psion handheld computer devices.
Accord says it will focus on becoming a technology group, with the aid of the additional cash.
It will concentrate on telecommunications in Pan-Africa as well as its handheld Web pad, for which it expects to receive international backing.
Vestalane has effectively assumed management of the companies from 8 January.
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