AccessKenya Maintains Positive Outlook of Year's Targets

Mergers, Acquisitions and Financial Results

Technology services company, AccessKenya, is braving turmoil in the economy from the recent post-election turmoil with a growth projection of more than 50 per cent. Jonathan Somen, the company's managing director, said though the ICT sector, like all other businesses, has had to contend with disruption of its programmes, it had been spared the physical damage and human resource dislocation that many firms are grappling with. "We still expect our 2008 growth to be in excess of 50 per cent in spite of the crisis," he said.

Last week AccessKenya announced that it has opened acquisition talks with four companies, Mr Somen reckons should be concluded in the next four months. The four candidates are engaged in ICT business segments that are complementary to AccessKenya's current product range. A statement from AccessKenya said 50 per cent of the 2008 sales growth is expected to come from organic growth - representing increased turnover from current business, and acquisitions.

Last week, AccessKenya announced the launch of OutSource IT, a new product that offers IT support and services to small and mid-sized firms. "We launched this new stream of business earlier than anticipated because of speed and efficiency of OpenView in building the infrastructure," Somen said.

Also planned for this year is the launch of AccessKenya's own residential broadband service that will take Internet services to more Kenyan homes. In the meantime, the group's core business as a corporate ISP continues to grow ahead of target, with new sign-ups continuing in a market that remains largely under-served.

"We set ourselves targets as a matter of public record, and we then achieve those targets as a minimum. Our own aim is to surpass these growth targets, and we remain on track to deliver this," said Somen.

AccessKenya Group last month unveiled end-year results for 2007, which showed it had surpassed the projections it gave for that year, both at the time of the group's IPO, and later. "We reached the Sh1 billion mark in revenue a year earlier than initially projected," said Somen.

Business Daily