Altron subsidiary Powertech this morning announced it has bought the IST Group for R505 million.
Powertech, which focuses on technologies for creating, distributing and storing electricity, realises an annual turnover of over R6 billion and employs approximately 5 000 staff. A further 300 former-IST staff will be incorporated into Powertech due to the acquisition.
The deal must still be approved by the Competition Commission, notes Regula Niehus, communications manager at Powertech. She says the dates for this are not clear.
Niehus adds that Powertech is "looking to move away from being purely a product supplier, to being a full solutions provider. Now we have a services arm that can assist us with that."
The 27-year old IST Group, a diversified engineering solutions business, currently operates in a range of markets - notably in the areas of energy, nuclear energy, telecommunications, mining and defence.
"Bringing IST into the Powertech group is in line with our strategy to create a significant service business to complement our existing marketing and manufacturing businesses," says Norbert Claussen, CEO of Powertech.
Powertech's BEE credentials will significantly enhance the outlook for IST, adds Harry Coetzee, CEO of IST.
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