06 November 2008
Arbez Consortium recently acquired a 26.32% equity stake in Storage Technology Services ("StorTech"), as part of a Broad Based Black Economic Empowerment (BBBEE) deal. StorTech is a network computing and data management solutions integrator that provides South African companies with data centre solutions.
Following the deal, StorTech's shareholding consists of Arbez Consortium (26.32%); Yusuf Surtee, a private shareholder (5%); and StorTech's holding company, Storhold (68.68%). This brings the overall BBBEE shareholding to 31.32%.
Arbez Consortium is an investment company formed specifically to fulfil a need for black participation in ICT. "StorTech is a leader in its chosen niche area in ICT and has a solid track record in the local industry. From a business and commercial perspective it made sense to invest in the company, as we saw opportunities to grow StorTech's business further in certain market segments to benefit its shareholders," says Mthunzi Mdwaba, CEO of the Arbez Consortium.
Tim Knowles, StorTech's CEO agrees and says, "As part of the deal, the Arbez Consortium will play an active operational and management role in StorTech. Arbez Consortium has a diverse network of clients and business partners and access to local IT skills. Moreover, they consist of an experienced group of individuals with extensive managerial expertise who will integrate with StorTech to help us transform the business going forward."
Mdwaba and Tebogo Makgatho from Arbez Consortium will join Yusuf Surtee, a private shareholder on the StorTech board. Surtee is currently Executive Chairman for West and South African GeoMarket. He is also a 7% shareholder in Cell C. Mdwaba is currently the Chairman of Transformation Policy (Transpol) and a participant in drafting the ICT Charter. Makgatho is a member of the National Executive Committee of the Black IT Forum (BITF) and Chairperson of the South African NGO Network (SANGONeT).
About StorTech
StorTech is a network computing and data management solutions provider. The company enables clients to securely manage, protect, share and access information as it flows through the enterprise from creation to deletion. With a broad portfolio of innovative storage and server solutions, StorTech helps its clients to build scalable and secure information infrastructures. The company has formed strategic alliances with Veritas and Sun Microsystems, as well as Sepaton. Please visit /for more information.