Altech acquires SetOne GmbH
9 September 2011
Altech acquires SetOne GmbH:
JSE listed Allied Technologies Limited (Altech) today announced the acquisition of SetOne GmbH (“SetOne”), a German-based pioneer of innovative DVB-based products and solutions in the German-speaking Europe or DACH region.
The acquisition follows the completion of a satisfactory due diligence of SetOne by Altech and approval by the board of Altech.
SetOne was incorporated in 2005 and has since been positioned as one of the leading Original Equipment Manufacturer (OEM) companies in central Europe. Its strength as a preferred supplier is evidenced by its recent breakthrough into Spain, Italy and other neighbouring countries in Europe.
The company specialises in the domain of digital video broadcasting (“DVB”) STB receivers. It has expertise and key skills in the supply chain design phase and product management of these products. SetOne has built strategic alliances with major key players in the value chain of its products and services offering throughout Asia and Europe, which include license agreements with leading companies such as Sisvel, MPEG LA and Rovi.
SetOne is especially strong in the management of a range of outsource manufacturing partners for the DVB-T/T2 products intended for the European retail free-to-air (FTA) markets, both satellite and terrestrial broadcast. With these partnerships, the ability to innovate has become an integral part of the company’s strategy and this is particularly evidenced by the very strong aesthetic design philosophy in the SetOne products.
The purchase of SetOne unlocks significant synergies with other Altech operations, in particular Altech Multimedia, one of the world’s leading providers of products, professional services and competitive software solutions to the digital Broadcast, Broadband and Telecommunications Industries.
The acquisition will enhance Altech Multimedia’s reach into international markets and further entrench its relationships with international partners regarding product development and management in these markets as well as leveraging established distribution channels and exploiting and cross-selling other business opportunities associated with its Global Decoder Logistics (“GDL”) services.
“This acquisition enhances our ability to diversify Altech Multimedia’s income streams by growing its international business footprint and reducing its reliance on locally generated business and is in line with the Altech Group’s strategy to increase non-SA revenue and profits,” said Craig Venter, Altech CEO.
“SetOne has established a significant track record in the STB repair and servicing business and is a preferred supplier in the central European region in terms of its OEM capabilities. The company has produced profitable results since its inception and with this acquisition we are well positioned to further entrench our leadership in the Telecommunications, Multi-media and Information Technology sector,” said Venter.
“This acquisition complements Altech Multimedia’s broadband and broadcast product offerings to address convergence within the multimedia market and strengthens our service offerings,” said Peter Balchin, CEO of Altech Multimedia.
According to Bartolomeo Caputo, CEO of SetOne, the transaction brings together a range of synergies between the two companies that will be of enormous benefit to the European market.
“Since the founding of our company in 2005, we have strived to provide creative and innovative products and reliable service to all our customers and business partners. Now with Altech Multimedia we look forward to taking our business to the next level,” he said.
To preserve current efficiencies and standards, Altech will retain existing SetOne management and staff whilst it provides supporting administration services and strategic input to the company.
More about the Transaction:
The Transaction is inclusive of all the IP owned and already developed by SetOne.
The agreements governing the transaction include limited warranties and terms and conditions that are customary for transactions of this nature. The effective date of the Transaction will be the first day of the month following the month in which the last conditions precedent in terms of the agreements are fulfilled.
- ENDS -
Notes to Editors:
About Allied Technologies Limited
Allied Technologies Limited (Altech) is listed on the Johannesburg Stock Exchange (JSE). The company focuses on the Telecommunications, Multi-media and Information Technology (TMT) industries and employs more than 3 580 employees in South Africa and abroad.
As a leading South African multi-billion rand group, Altech is involved in the design, development and convergence of Telecommunications, Multi-media systems and IT solutions.
About Altech Multimedia
Altech Multimedia is one of the world’s leading providers of products, professional services and competitive software solutions to the digital Broadcast, Broadband and Telecommunications Industries. Altech Multimedia solutions include a number of innovative world-first applications that are currently deployed in several digital television networks around the world and in addition to being device independent, Altech Multimedia offerings are available as either stand-alone or complimentary solutions that integrate seamlessly with existing systems.
Altech Multimedia’s presence spans the globe with Head Office in South Africa and Regional offices in Europe, Australia and India.
Altech Multimedia currently consists of three lines of business: Altech UEC, Altech MediaVerge and Altech Global Decoder Logistics.
Altech UEC is a leading developer of digital technology for the Pay-TV industry and specialises in the provision of integrated solutions comprising specialised hardware supported by innovative software solutions and logistical support services. Altech UEC's range of leading set-top boxes is specifically designed to offer operators the optimum combination of features, performance, quality and reliability whilst ensuring global cost competitiveness. With over 15 years of experience in middleware and conditional access integration, Open TV, NDS Core, MHEG and IDWay middleware solutions are readily available and all products support industry leading conditional access solutions such as NDS, Irdeto, Nagravision and Conax. Altech UEC’s comprehensive product portfolio incorporates satellite, terrestrial, cable and IP transmission modes and spans the range from value-engineered entry-level devices to high-end hybrid solutions.
Altech Mediaverge is one of the world's leading service providers to the digital broadcast industry. Altech MediaVerge products are currently deployed in nine networks spanning four continents. Completely Set-top box (STB) independent, Altech MediaVerge solutions are available as either stand-alone products or as complementary systems that work together seamlessly to provide optimum performance.
Altech GDL (Global Decoder Logistics) is a division of Altech UEC and was formed to deliver after sales support and decoder repair capabilities to Altech UEC clients globally. This support is delivered by enabling third party agents to perform repairs to Altech UEC decoders local to their country of deployment through on-site repair support from Altech GDL field service support technicians.
About SetOne GmbH (“SetOne”)
SetOne is a German-based distribution, logistics, STB repair and servicing business focused on the DVB based retail business in Central Europe, particularly the DACH region (i.e. Germany, Switzerland and Austria).
SetOne plays an active role in retail, wholesale and export distribution channels. It has a strong brand and strong relationships with key retailers including one of Europe’s largest retailers of consumer electronics with numerous branches throughout Europe.
It is Europe's largest retailer of consumer electronics. SetOne specialises in the domain of digital video broadcasting (“DVB”) receivers. It has expertise and key skills in the supply chain design phase and product management of the products.
SetOne has built strategic alliances with major key players in the value chain of its products and services offering throughout Asia and Europe, which include license agreements with leading companies such as Sisvel, MPEG LA and Rovi. SetOne is especially strong in the management of a range of outsource manufacturing partners for the DVB-T/T2 products intended for the European retail DTT markets. With these partnerships, the ability to innovate has become an integral part of the company’s strategy and this is particularly evidenced by the very strong aesthetic design philosophy in the SetOne products
For further information please contact:
Chief Executive Officer: Altech
Tel: +27 11 715 9004
Cell: +27 83 236 8000
Chief Executive Officer: Altech Multimedia
Tel: +27 31 508 2800
Cell: +27 78 327 7315
Shenanda Janse van Rensburg
Group Executive: Marketing, PR & Communications - Altech Head Office
Tel: +27 11 715 9031
Mobile: +27 84 777 1977
JSE code: ALT