Grintek Antennas and Kathrein Werke KG, world leader in the design, manufacture and distribution of antennas, announced yesterday that they have agreed to form a joint venture company under the banner of Kathrein Grintek Antennas (Pty) Ltd.
The agreement was signed yesterday by Grintek Limited chairman, Zoli Kunene, and chairman and owner of Kathrein Werke, Prof Dr Anton Kathrein during the International Telecommunication Union's (ITU) Africa Telecom 2001 Exhibition in Midrand.
The partnership with Kathrein will give Grintek Antennas access into an established, global marketing network, while Grintek's antenna and radio frequency products will complement Kathrein's portfolio in the market.
For the first financial year the turnover of the joint venture is estimated to be R50 million.
Antennas under licence of Kathrein Werke will be manufactured for the African market in SA and Kathrein Grintek Antennas will also serve as a centre of technical excellence in areas where Grintek Antennas has traditionally operated.
The joint venture will reside in a new facility, which is close to completion at the Highveld Technopark, located in Centurion.
"Both parties are highly satisfied with the terms of the agreement. Grintek's investment in research and development in niche areas has once again allowed the group to associate with world-leading suppliers. The new joint venture will develop and design specialised antennas and draw on technical knowledge from the German company," says Kunene.
The agreement is in line with Grintek's policy of internationalising its business where the group has a significant capacity to undertake its own research and development, whilst optimising its investment in conjunction with an overseas partner, accelerating and improving the return on investment.
Significant growth is anticipated in the African telecoms market in the medium-term, especially for Grintek's locally developed range of cost-effective GSM products.
While technology in the sophisticated GSM environment moves towards enhancing existing customers' choice of products and services, developing network operators concentrate on attracting customers whose primary requirement is voice communication. The new joint venture's products are aimed at these developing markets, focusing on new GSM users, especially those in Africa.
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