Dimension Data`s audio video conferencing subsidiary Dimension Data Interactive Media has acquired 100% of the equity of local audiovisual solutions provider Future Media for an undisclosed sum.
News of the acquisition was not as well received as DiData`s previous acquisition, Dutch company In Time Netbuilding, announced earlier this week. The share went up on the news of the Dutch acquisition and analysts said the market viewed the buy as proof that DiData had cash to spend.
However, today`s news saw the DiData price dropping 80c or 6.67% to 1120c by 11am.
Management says the merged entity, Dimension Data Interactive Media (DDIM), will operate in the integration and conferencing space in the technical skills, geographic coverage and product suite areas.
Its combined customer base will include Microsoft, Compaq, Telkom, Vodacom, Nedcor and Ernst & Young.
The deal extends the joint entity`s geographical representation into KwaZulu-Natal, the Western and Eastern Cape, and the Free State.
Future Media reported turnover of R58 million for the 12 months to 28 February 2001 and a net asset value of R14.3 million.
"The acquisition of Future Media provides us with significant skills and experience in the audiovisual systems integration space," says Gary McHugh, MD of DDIM. "Future Media`s intellectual capital, coupled with DDIM`s skills in audio and visual conferencing, means that we can now offer a broader range of services to our client base.
"By growing this key focus area we believe we will be able to generate growth on both the top and bottom lines, thereby increasing the value of the business."
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