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Dimension Data jumps up two levels on B-BBEE score for 2019

Dimension Data achieved a 51% black ownership recognition status.

Johannesburg, 11 Dec 2019

A B-BBEE transaction concluded last month saw Dimension Data achieve a 51% black ownership recognition status, which significantly improved its B-BBEE score from a level 4 to a level 2 for 2019.

In April 2019, Dimension Data reported that its parent company, NTT Holdings, was evaluating opportunities to conclude an equity transaction to bolster its broad-based black economic empowerment (BBBEE) rating for Dimension Data in South Africa.

Grant Bodley, CEO Dimension Data, said: “Dimension Data and NTT are committed to furthering our transformation journey and the pursuit of a sustainable South Africa. This is a significant accomplishment and we are extremely proud of our level 2 B-BBEE rating. We look forward to growing our business further in South Africa.”

Dimension Data’s B-BBEE transaction is twofold:

The sale of The Campus – this Bryanston-based office park built specifically for Dimension Data, which has been its home since 2003 and owned by the company since 2006, has been sold to a black women-owned company which is part of the recently established Identity Property Fund (managed by Identity Fund Managers, a division of Identity Partners). The sale of The Campus is part of a wider restructuring exercise to enable the company to focus on its core business.

Dimension Data currently occupies less than 50% of The Campus.

A 15% equity transaction through an Employee Share Option Plan (ESOP).

Dimension Data will continue to occupy The Campus, which remains its head office.

Historically, Dimension Data has had two successful B-BBEE schemes. The first scheme came into effect in 2004 and vested in 2012, benefiting thousands of employees and broad-based groups and transferring a total of R1.26 billion to its beneficiaries. This was immediately followed by an ESOP scheme, which was concluded in 2017 and has been unwound and its beneficiaries were paid out at the end of August this year.

Dimension Data will continue to implement strategies to ensure it contributes meaningfully to the transformation towards an inclusive South African society.  

Together with this new B-BBEE transaction, Dimension Data has restructured its operating model driven by a new go-to-market strategy, which is well-positioned for the future needs of its clients. Dimension Data aims to provide a combined value proposition that enables data-driven decisions, provides digital customer experiences, creates connected workplaces for their employees, and provides software-defined infrastructure.

Dimension Data has also established a new security business to prioritise providing solutions to its clients that protect their businesses from noted threats.

Dimension Data remains an important member of the NTT Group and will continue to leverage NTT’s shared services, technology and platforms.

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