IT systems and communications distributor Comztek has acquired a 31% stake in Otex Concepts, the local developer, manufacturer and supplier of the NetShield product range.
The deal took effect on 1 January 2004.
The joint venture between Comztek and Otex - to be renamed NetShield South Africa in January 2004 - will see both companies promoting the NetShield range of products to the international market.
The NetShield product offering comprises a range of media converters, transceivers, interface switches, laser communications, E1 multiplexers, modem eliminators and lightning protection products.
Comztek will have NetShield SA board representation and will assist with monitoring the financial management of the company. Comztek will also have the option to increase equity in NetShield SA.
Inus Dreckmeyr, managing director at Otex Concepts, says the deal with Comztek brings tremendous added value and business benefits to the NetShield brand globally.
"In the 10 years that Otex Concepts has supported the NetShield product range, we have constantly focused on providing our customers with fully customised solutions to suit their diverse needs. We have recently expanded our focus to include the telecommunications space - a sector of the industry that presents massive growth opportunities."
Dreckmeyr will continue to manage the NetShield SA business while Comztek assists with growing its global market share.
"The most important part of this agreement is that NetShield SA will gain exposure into larger international markets. It also brings us closer to the Comztek business philosophy of providing customers with best-of-breed solutions coupled with support and technical expertise to match," he says.
Andries Coetzee, financial director at Comztek, says: "Comztek already distributes the NetShield range of products.
"NetShield has a unique product set and Comztek, with its significant infrastructure, has an opportunity now to expose and build the brand internationally. We will be looking at the possibility of entering the US and Europe, but will initially move into the greater African continent," Coetzee says.
According to Coetzee, NetShield SA will focus on a market sector that the East has not yet captured. Comztek`s Mark Dorfling will be responsible for business development for NetShield in this regard.
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