• Both ICASA and the Competition Commission have given their approval for Convergence Partners to buyout Datacentrix.
• Convergence signalled its intent to purchase Datacentrix at the beginning of the year.
• With approval now given, the acquisition will proceed, but no buyout price has officially been shared.

At the beginning of the year, ICT investment firm Convergence Partners signalled its intent to acquire hybrid IT systems integrator Datacentrix. It also noted at the time that it would need to wait for regulatory approval before it could move forward with any deal, per ITWeb.

Now six months later, said approval has come in, with both ICASA and the Competition Commission giving the green light for the deal to buyout Datacentrix.

“The agreement was subject to the fulfilment of conditions and regulatory approval. Datacentrix is pleased to announce that all conditions precedent have been met. The Competition Commission and Independent Communications Authority of South Africa have unconditionally approved the transaction,” Convergence highlighted in a release to Hypertext.

While it is being bought out, it looks like there will be little change in terms of operations or indeed who will be running the company.

“Datacentrix will continue to be led by the experienced management team that has successfully managed the company for many years, both in a listed and unlisted environment. The success of the Group is testament to a management team and employees who are passionate, committed and focused on generating value for all its stakeholders,” added Convergence.

“We are heartened by the engagement to date with Andile Ngcaba (pictured below) and the rest of the Convergence Partners team, Stefan Ferreira, and Ruveshan Moodliyar and we look forward to leveraging this new partnership for the benefit of all stakeholders,” enthused Ahmed Mahomed, Group CEO at Datacentrix.

“Datacentrix’s roots are firmly planted in South Africa and has ambitions to continue expanding its reach further into the continent and beyond.  We look forward to continuing the Datacentrix success story well into the future. The Group is well poised to deliver unparalleled value to its broad client base across Africa and the Middle East,” he continued.

Now that approval has been received, it is still unclear how long it will take to complete the acquisition, nor has it officially been shared how much the buyout is for. Either way, Convergence Partners is excited about the prospect of adding Datacentrix to its burgeoning ICT portfolio.

“We are delighted to be part of Datacentrix, one of the leading system integrators in South Africa. We are excited to embark on this journey towards artificial intelligence with Datacentrix. We are entering Datacentrix at a time when the market is transitioning towards an AI driven enterprise, telco and public sector,” noted Andile Ngcaba, chairman of Convergence Partners, regarding the deal.

“With Datacentrix’s strong partnerships with leading global OEMs we will be forging new partnerships as the market consolidates,” he concluded.