Dimension Data, the 74.9% holding company of Convergence Partners investee company Dimension Data Middle East and Africa (DDMEA), announced that it has acquired OpSource, an enterprise cloud company, in a deal that will see Dimension Data (itself a wholly owned subsidiary of NTT Holdings) accelerate its cloud computing services offerings.  At the same time, Dimension Data, a US $4.7 billion ICT services and solutions provider has created a centralised Cloud Solutions Business Unit which will report directly into Dimension Data’s CEO, Brett Dawson.  OpSource will become part of the Dimension Data Cloud Solutions Business Unit.

OpSource employs 150 staff and is headquartered in Santa Clara, California with operations in Virginia, United Kingdom, Ireland and India.  Over 600 enterprises, service providers and Software-as-a-Service Independent Software Vendors (ISVs) employ OpSource’s expertise, experience and cloud automation technology to operate high-availability, business-critical cloud computing and hosting environments.

Brett Dawson, Dimension Data CEO said, “Market readiness for cloud services is being enabled by technology maturation, along with clients’ needs for more flexible services-centric, IT sourcing options.  Our decision to accelerate our focus on cloud services aligns to our long-standing strategy to become a services-led business.  Over the past few years, Dimension Data has been building cloud-related skills and capabilities in the areas of virtualization, data center and storage, managed services and hosting, and IT outsourcing – all critical to enabling cloud architectures for our clients.

“OpSource brings a rich set of services, a sound cloud architecture, and extensive experience in cloud services that will meet immediate client needs – in addition to a cloud infrastructure which supports development and growth in this space. We believe OpSource provides us with an accelerated time-to-market as their infrastructure and services are well-established and tested.  Dimension Data is now well-positioned to provide our clients with services that help them at each step in their journey toward cloud architectures,” Dawson explained.

Dimension Data’s competencies and capabilities in IT integration are a strategic differentiator and critical to helping organizations effectively adopt a cloud architecture. The Group’s experience with complex multi-national systems integration projects, coupled with its managed services, data center and storage, and security expertise are critical to accelerating the transition to cloud computing for clients across all regions.

According to Treb Ryan, OpSource CEO and co-founder, mapping a migration path and architectural design for cloud is complex and requires in-depth understanding of an organisation’s entire IT infrastructure, architecture, and relative interdependencies and risks.  “An understanding of IT integration across disparate multi-technology, multi-geography, IT environments is critical to evolving toward cloud-based architectures.  We believe that as part of Dimension Data, OpSource will be better able to capitalize on the global cloud computing market opportunity.  We’re thrilled to be a part of the Dimension Data family.”

Press Release

Article from TechCentral

After being listed on the JSE for the past 23 years, today marked the final day of trading of Dimension Data shares.  However, Didata exited on a high note with it reporting strong full year results for 2010.

The Dimension Data group, which is being acquired by Japan’s Nippon Telegraph and Telephone (NTT) Corp, reported a 9,9% increase in sales in constant currency terms in the 2010 financial year to September. The company reported revenue growth of 19,4% to US$4,74bn, due in part to currency gains.

In the financial year, Didata recorded an 8,2% increase in operating profits, bringing it to $237,8m, with operating margins having reached 5%, from 4,9% the previous year.

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Dimension Data shareholders have voted overwhelmingly in favour of Nippon Telegraph and Telephone’s (NTT’s) £2.1 billion offer, with shareholders owning 93.42% of DiData shares accepting the deal. With the approval phase of the transaction now complete, Convergence Partners looks forward to an exciting new era for Dimension Data, especially in the fast growing African market.

Dimension Data said in mid-July that it had received a R24.2 billion buyout offer from NTT. Shareholders had until the close of trade [PUT IN DATE] to indicate whether they would accept the bid. The merger will create one of the world’s largest integrated telecoms and technology groups, speed up DiData’s growth strategies, and give NTT a platform to expand into markets outside of the Far East, including Africa and the Middle East.

“By leveraging the complementary strengths of both companies and by leveraging our synergies, we will provide global, high quality, end-to-end ICT services across the services lifecycle,” says NTT president and CEO Satoshi Miura. “Also, we strongly believe we will accelerate the execution of our strategies to achieve our shared vision.”

DiData chairman Jeremy Ord adds that the “acquisition process proceeded smoothly and we are excited to start charting the journey ahead”. CEO Brett Dawson is “eager to work closely with NTT to begin providing a mutual value proposition to our clients and developing new value that helps solve our clients’ IT and business challenges”.

NTT will now request DiData to proceed with cancelling its listings on both the London and Johannesburg stock exchanges.

See attached press release

Article in ITWeb

On 15 July 2010, Nippon Telegraph and Telephone Corporation (“NTT”) Dimension Data Holdings plc (“Dimension Data” or “DiData”) announced that they have reached agreement on the terms of a cash offer to be made by NTT for 100% of Dimension Data. The offer, totalling approximately GBP 2.1 billion (R24.4 billion), was unanimously recommended by both Boards of Directors.

NTT, one of the largest global telecommunications service providers in the world, has limited presence in certain emerging markets where Dimension Data is very strong, specifically Africa and the Middle East. The transaction is a huge vote of confidence in DiData, South African and Africa, and the rationale of both parties is to capitalise on the significant growth opportunities that are unfolding.

Andile Ngcaba, Chairman of Dimension Data’s Middle East and Africa business (“DDMEA”), as well as of its minority shareholder Convergence Partners, is excited about the deal and how its positions DiData in this region. “With access to the resources, products and R&D of the NTT Group, DDMEA is better positioned than ever to grow its presence and capitalise on new and fast growing market opportunities, such as cloud computing. The deal is great for the country and the company”.

See attached press release

The Group recorded a sound trading performance for the quarter ended 31 December 2009. Reported turnover reflected an approximately 6% increase in relation to the three months to 31 December 2008.

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Dimension Data Middle East & Africa has acquired a 51% stake in Telcom (Morocco), representing a further step in the establishment of a strong presence across the continent. Telcom will be rebranded Dimension Data Morocco.

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