MERGERS, ACQUISITIONS AND FINANCIAL RESULTS
SA firm raises stake in IS Kenya to 80%
Dimension Data’s Internet Solutions (IS) subsidiary has increased its shareholding in its Kenyan unit from 51% to 80%, as part of a long-term strategy to increase its presence across East Africa. IS initially acquired a 51% stake in Kenyan service provider iConnect in 2005, which was duly rebranded IS Kenya following the transaction.
The latest deal gives IS the option to acquire the remaining 20% of the company that it does not already own at an unspecified point in the future. Incoming managing director Loren Bosch commented: ‘East Africa is experiencing a boom, with [the] telecommunications sector playing a vital role in fuelling rapid growth across multiple vertical markets.
This is largely due to the increased international bandwidth capacity supplied via the numerous undersea cable systems’. IS Kenya also serves parts of Tanzania and Uganda, and Bosch said that the ISP plans to expand its scope to cover Rwanda, Burundi and South Sudan in the ‘near future’.