Pinnacle Technology Holdings is to become the sole owner of value-added IT distribution company Explix, after buying for R33.4 million the remaining 50% it does not own.
Pinnacle, which is listed on the JSE, is buying 35% of the company from Hendev and related shareholders for R25.74 million.
The other 15% is being acquired from ITCM Channel Management and related shareholders for R7.67 million.
Pinnacle says in a notice to shareholders that the acquisition will increase the number of agencies and opportunities available to clients and vendors, help with the penetration of new markets and unlock operational synergies within the group.
It adds that Explix`s Workgroup division is well established, having traded for the past 16 years.
"Workgroup is regarded as the largest focused software distributor in SA, servicing the IT channel from its national branch infrastructure situated in Johannesburg, Cape Town, Durban, Port and Elizabeth, and its African presence in Angola, Botswana, Mozambique, Namibia and Zambia," the group says.
Other divisions include retail-focused Crew, retail merchandising and marketing-focused Merchandise IT, and Horizon, the channel development provider for Sun Microsystems in sub-Saharan Africa.
"The solutions offered by the new Pinnacle group will now provide the critical mass to cement the initiatives regarding further expansion in Africa," Pinnacle says.
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