Merger into a single brand will combine technology services, insights, consulting, solutions, and managed services
10 April 2024 - 14:34
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Reunert will merge its IQbusiness and +OneX business units, bringing together together almost 1,500 team members and creating a single brand.
The subsidiaries, which have coexisted in the solutions and systems integration cluster, will be bundled into a single client-focused business, Reunert said in a statement on Wednesday.
“The intention is to merge the companies under a single brand to create a digital integrator within Reunert ICT. The merger will combine technology services, insights, consulting, solutions, and managed services under a single business with a Level 1 B-BBEE certification,” the group said.
The group bought almost three-quarters of IT consulting business IQbusiness for an undisclosed amount in mid-2023 as it sought to broaden its services.
The merger will see Adam Craker, CEO of IQbusiness take on the role of CEO of the combined entity, while Rob Godlonton and René Bredenkamp from +OneX, are expected to be chief commercial officer and CFO.
In June, the group received authority from competition authorities to finalise a deal is for a 74.2% stake in IQbusiness, one of SA’s largest management and technology consulting firms. It employs more than 1,000 and people generates more than R1bn in revenue annually, offering insights, consulting and contracting across consumer convergence in the financial services, retail and telecommunications sectors and the manufacturing industry.
+OneX, a subsidiary of Reunert ICT, was founded in 2020 offering services that include digital consulting, data services, cloud services, security services, end user computing, digital media, unified communications, managed services and software development.
“The continued investment into the expansion of our ICT segment by the creation of this digital integrator is one of Reunert’s key strategic growth initiative pillars,” said Reunert group CEO Alan Dickson.
“These growth initiatives, together with our investments into renewable energy and internationalisation, plus Reunert’s core businesses and positive cash generation determines our compelling investment case.”
To conclude the merger process, the group said further work is under way to streamline the client and market-facing activities and to review the systems and processes.
Reunert has its primary listing on the JSE, where it is valued at just over R12bn, and is also traded on the A2X. Its operations include the design and manufacturing of electrical conductors, cables and accessories, as well as ICT-related services for businesses. It also has niche businesses that cover communications and radar systems.
The electronics company is one of a handful of companies that weathered the fallout from Eskom’s load-shedding thanks to its investments in renewable energy and supply contracts with the power sector.
Revenue for the year to end-September increased 23.8% year on year to R13.8bn and operating profit improved 16.2% to R1.4bn. Profit rose 13.6% to R959m and headline earnings per share (HEPS) advanced 16% to 602c.
The total dividend declared for the year was up 11% at 332c per share.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Reunert to combine IQbusiness and +OneX
Merger into a single brand will combine technology services, insights, consulting, solutions, and managed services
Reunert will merge its IQbusiness and +OneX business units, bringing together together almost 1,500 team members and creating a single brand.
The subsidiaries, which have coexisted in the solutions and systems integration cluster, will be bundled into a single client-focused business, Reunert said in a statement on Wednesday.
“The intention is to merge the companies under a single brand to create a digital integrator within Reunert ICT. The merger will combine technology services, insights, consulting, solutions, and managed services under a single business with a Level 1 B-BBEE certification,” the group said.
The group bought almost three-quarters of IT consulting business IQbusiness for an undisclosed amount in mid-2023 as it sought to broaden its services.
The merger will see Adam Craker, CEO of IQbusiness take on the role of CEO of the combined entity, while Rob Godlonton and René Bredenkamp from +OneX, are expected to be chief commercial officer and CFO.
In June, the group received authority from competition authorities to finalise a deal is for a 74.2% stake in IQbusiness, one of SA’s largest management and technology consulting firms. It employs more than 1,000 and people generates more than R1bn in revenue annually, offering insights, consulting and contracting across consumer convergence in the financial services, retail and telecommunications sectors and the manufacturing industry.
+OneX, a subsidiary of Reunert ICT, was founded in 2020 offering services that include digital consulting, data services, cloud services, security services, end user computing, digital media, unified communications, managed services and software development.
“The continued investment into the expansion of our ICT segment by the creation of this digital integrator is one of Reunert’s key strategic growth initiative pillars,” said Reunert group CEO Alan Dickson.
“These growth initiatives, together with our investments into renewable energy and internationalisation, plus Reunert’s core businesses and positive cash generation determines our compelling investment case.”
To conclude the merger process, the group said further work is under way to streamline the client and market-facing activities and to review the systems and processes.
Reunert has its primary listing on the JSE, where it is valued at just over R12bn, and is also traded on the A2X. Its operations include the design and manufacturing of electrical conductors, cables and accessories, as well as ICT-related services for businesses. It also has niche businesses that cover communications and radar systems.
The electronics company is one of a handful of companies that weathered the fallout from Eskom’s load-shedding thanks to its investments in renewable energy and supply contracts with the power sector.
Revenue for the year to end-September increased 23.8% year on year to R13.8bn and operating profit improved 16.2% to R1.4bn. Profit rose 13.6% to R959m and headline earnings per share (HEPS) advanced 16% to 602c.
The total dividend declared for the year was up 11% at 332c per share.
gavazam@businesslive.co.za
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