Huawei to aid Altech’s African safari – analyst
Altech’s deal with Chinese ICT firm Huawei will strengthen its ambitions in Africa according to an analyst at tech research firm Frost & Sullivan.
On Wednesday (31 August), the JSE-listed Allied Technologies Limited (Altech) signed a long-term agreement with Huawei, to provide Huawei Enterprise products and services to customers and offer post-sales professional services and support.
Huawei said that with Altech’s operations in the telecommunications, multi-media and information technology (TMT) sectors, it will be able to provide high-end fleet management services, traffic monitoring applications and cloud infrastructure services, to name a few.
Altech will also distribute Huawei devices, such as smartphones and tablets, through its existing Altech Autopage Cellular national distribution network.
The agreement covers countries including South Africa, Angola, Botswana, DR Congo, Kenya, Lesotho, Madagascar, Malawi, Mauritius, Mozambique, Namibia, Swaziland, Tanzania, Zambia and Zimbabwe.
Business Unit Leader for ICT Africa at F&S, Chantel Lindeman, said: “The partnership between Altech and Huawei seems to make a lot of sense, especially considering the level of development which Huawei has had across Africa. The company is able to offer an extensive range of product offering that is known to work well with government departments.
“Altech is a recognised company in Southern Africa and East Africa and this partnership will assist in further developments into Africa.”
Shares in Altech rebounded somewhat in trade on the JSE on Thursday, rising to R42.50 and a market cap of R4.51 billion.
At close of play on the JSE on Tuesday, shares in Altech declined by as much as R2.29, or 5.06%, to R43 – down from R48.24 at the start of the week. The company is coming off a pre-tax loss of R240 million for the year ended February 2012.
It has also struggled with its operations in East and West Africa in recent times. At its most recent results presentation, CEO Craig Venter said that Altech was close to offloading its West Africa operations.
Related article
Altech West Africa talks still ongoing
Altech expects West Africa disposal in 6-8 weeks
Loading ...