Jasco invests in Vodacom partner

Johannesburg - Jasco Electronics Holdings (JSC) on Tuesday announced the acquisition of a 30% stake in converged information and communication technology (ICT) services company Maringo Communications.

Jasco also announced a call option to acquire an additional 20% plus one share. The total purchase consideration will be a minimum of four million rand and a maximum of R34m for a controlling share, based on detailed performance criteria over the next 24 months.

Through Maringo, which is an enhanced channel partner of Vodacom Business, Jasco would be able to move up the value chain from merely supplying product and services to participating in the provision of fully converged ICT solutions.

These include access services like fibre, managed network services including internet access, internet VPN, domain name services, managed hosted services and converged application services including blackberry, according to Jasco.

Maringo also provides turnkey IT services and solutions to complement the Vodacom Business offering, Jasco added.

"We are extremely excited about this acquisition. Although small, it is highly strategic in terms of our acquisition strategy, as it allows us to participate in the offering of converged ICT services and increase our annuity base income," said Jasco CEO Martin Lotz.

"This transaction will also ensure that applications, value add services and content offerings in both the build and deliver side of the identified strategic value chain are filled, without having to become an operator," Lotz concluded.

- I-Net Bridge