Answered by Paul Conradie, Comztek Managing Director

1. Is Netshield the only company you have purchased?
No, we last purchased a company in 2001 called LAN Design

2. How much was the transaction?
Unfortunately we can not divulge that kind of information.

3. Why is a distributor buying a company?
Comztek’s relationship with Netshield spans a number of years and we have always planned to obtain a majority stake in a company that is in line with our market positioning. In addition, the acquisition compliments Comztek’s growth strategy. As part of the Comztek group, Netshield is well placed to grow not only in South Africa but further afield into Southern, Central, East and West Africa where demand is high for cost-effect, robust network communications solutions.

4. How is this company going to add value to your operations?
It is early days, but there has been a fair amount of interest from our existing customers since the announcement throughout the region. We believe we will see a good return on investment from this acquisition. Our long relationship with Netshield speaks for itself. The management team will remain the same and we have high hopes for the future.

5. Will you be buying anymore companies?
Never say never. Traditionally, Comztek has grown organically, but we will continue to look for opportunities that compliment our current business strategy and growth plans. As a private company, we are not under the pressure to grow via acquisitions.

6. Please give me a blurb on the products that this company is manufacturing?
The Netshield offering can be split into three categories

• Netshield branded Original Equipment Manufactured electronic products targeting the lower end of the market
• Developing generic industrial products including free space optical, media converters and transceivers
• Turnkey solutions for specific infrastructural applications over a variety of industries