A management consortium, including Brait and black-controlled MMR Equity Capital, has acquired the South African business of international consulting firm Gemini Consulting for an undisclosed sum.
In terms of the agreement, management and staff have acquired 52.5%, Brait has acquired 25%, MMR Equity Capital 15% and international management consultant Richard Koch has acquired 7.5% of the new company.
Stephen Asbury, formerly VP of the SA division, has been appointed chairman of the new company, while Chris Filmer steps in as MD.
Management intends to develop Gemini in SA as the core of a broader services group, which will acquire strategic investments in management consulting, IT services and human capital.
The new entity will continue to trade as Gemini Consulting in SA, while maintaining global links with Gemini Consulting through an ongoing licence agreement.
"This is an important step which gives us the flexibility to adapt to local market conditions, develop our service offerings and build SA appropriate skills," says Asbury. "We will be able to offer equity to attract the best consulting talent in the country and to deliver against our transformation objectives.
"It is clear that SA management consultancies need to transform by attracting black representation, not just as owners, but also in terms of management and skills. We believe MMR will add tremendous value to our efforts in this regard, in terms of its business focus, network and standing," he adds.
"Our fund`s target focus is on established entrepreneurial groups, which require capital and active partners," says MMR executive director Mutle Mogase. "This is an important step for black investment in the management consultancy field and we believe we can add substantial value as partners."
"Our investment made good financial and strategic sense in terms of Gemini`s strong bank of intellectual capital and local market position," says Brait MD Anthony Hewat. "We are confident there are strong return prospects and synergy to be developed between our organisations."
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