Printing and peripherals supplier NRG Gestetner SA has consummated a R9 million black economic empowerment (BEE) partnership with entertainment personality Yvonne Chaka Chaka`s investment firm.
Together, the partnership has invested in Gestetner Tshwane, a Pretoria-based Gestetner reseller, with 74.9% held by Chaka Chaka Investments and the remainder by Gestetner SA.
NRG Gestetner SA is the wholly owned local subsidiary of the international NRG group that controls the Gestetner business.
According to the companies, it is the first time that a global Gestetner subsidiary has taken a holding stake in a reseller company, and Gestetner Tshwane will be the first black-empowered Gestetner associate company in SA.
Gestetner says it`s one of the first technology multinationals to start taking steps to address the requirements in the ICT BEE charter, which is scheduled for implementation on 1 March.
"As the wholly owned subsidiary of the office automation giant Ricoh, it has been very difficult for us to really support BEE in SA," says Richard Pinker, NRG Gestetner SA MD.
"This investment is significant as it has allowed us to demonstrate our faith in, and commitment to, transformation. It also makes good business sense. We have not just found a BEE associate that would match the number requirement, we have established a relationship with an investment partner who brings a wealth of value beyond the term black empowered."
Yvonne Chaka Chaka will take on the role of CEO at Gestetner Tshwane. She will be supported by the business` 62 employees as well as Brigette Reynolds, the managing director who has run the company since its inception in May last year.
"It is important that I take on an active role at Gestetner Tshwane," says Yvonne Chaka Chaka. "Chaka Chaka Investments is more than a wealth creation vehicle for its shareholders. It is committed to actively addressing the transformation challenges that face South African companies and this can not be done by attending one AGM a year. I need to be right in the business, supporting financial growth so that we can create jobs, transfer skills and play an important social responsibility role. I do not see my position as being the quiet figurehead, but as being the dynamic, passionate leader of a very successful company."
"The introduction of Chaka Chaka Investments as the majority shareholder puts a whole new take on the growth potential of this company," says Pinker. "I will be very surprised and not a little disappointed if Gestetner Tshwane hasn`t doubled its equipment base, which currently sits at about 2 000 machines, by January 2006."
Gestetner Tshwane is not limited to conducting business in Pretoria. It has the option to use the four Gestetner branches and the 26 other dealerships in the country for the installation and maintenance of equipment, to ensure it can honour all its national contracts.
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