COMPUTER BUSINESS REVIEW

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Issue Date: October 2006

M-IT acquires Dicoll Electronics

1 October 2006

M-IT, an EOH company, has acquired Dicoll Electronics, a storage support services company, for an undisclosed amount. Lucky Khumalo, managing director, M-IT, and executive director of EOH says Dicoll is the perfect fit: “Dicoll provides M-IT with a focused storage solution that expands our current outsourced offering and positions us as an end-to-end outsourcing partner. It also makes us a sizeable force and significant player.”
Jan Beukes, joint shareholder of Dicoll says: “The shareholders of Dicoll recognised the potential synergy between the two companies many years ago. Both businesses were started at the same time, but we needed to establish the necessary foundations and develop our storage services before considering an acquisition. Dicoll and M-IT share a common customer base at the OEM level and, having consolidated this market some time ago, we believe that it made sense to form one business. All elements of an end to end data storage support service company are now in place, and we are excited about jointly expanding and growing the customer base from a strong market position.”
Khumalo says M-IT has adopted a strong vertical focus with specific interest in tourism; gaming; financial services and telecommunications. He says that as a result of convergence, the telecommunications sector is an important focus area: “The services we provide form a significant part of convergence and to be successful in outsourcing, you need to have a compelling solution in this space.”
Dicoll’s 30 member team, situated nationwide, are already working as part of M-IT. Khumalo says one of the team’s immediate goals is to grow the software storage solution offering: “We see great potential in the provision of high-end software storage solutions. We are well placed in terms of our infrastructure offering and thus believe it makes strategic sense to build our software offering. This will enable us to offer customers value added services, as well as positioning us strongly for new business.”


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