African Equity Empowerment Investments (AEEI), AYO’s parent company, will own 49 percent of the shares post listing and a number of unions, such as the SA Clothing and Textile Workers Union (Sactwu), the Police and Prison Civil Rights Union (Popcru) and the Federation of Unions of SA (Fedusa) are also shareholders.
AEEI recently announced the appointment of former managing director of British Telecommunications Africa, Kevin Hardy as the chief executive of AYO with effect from the beginning of this month.
“Ayo has grown over the past few years and I am excited to take it through its next exciting growth phase, increasing its market share in South Africa, the continent and beyond,” Hardy said after his appointment.
AEEI group chief executive, Khalid Abdulla, said yesterday that AYO was created from a desire to effect real change in South Africa and beyond its borders by adapting its business model with the changing environment as well as new codes and policies.
“AYO companies are highly scalable and reach across Africa and into Europe.
“It is an exciting time as we stride alongside giants in technology innovation.
“AYO is forging the way for many and this is an opportunity for medium to long-term growth prospects,” Abdulla said.
Abdulla also said ICT had changed the lives of many people and with the Fourth Industrial Revolution, the trend will not only continue, but will speed up markedly over the next few years and we are ready to expand with these new opportunities.
Through AYO’s strategic relationship with BT Communications Services South Africa and with capital raised as well as acquisitions in the pipeline, AYO Technology is set to be one of the largest and most empowered multidisciplinary ICT groups in the country.
AYO, its subsidiaries and investments have a full suite of products and services, which delivers turnkey ICT solutions.
In addition to becoming an equity holder in BT, AYO has entered into an alliance agreement with BT, in terms of which AYO and BT have formed a further strategic partnership in South Africa to further grow within South Africa and abroad.
The company said as a condition to the listing and in order to provide AYO Technology Solutions with additional capital to fund its further expansion, AYO would on the date of listing, issue shares to eligible investors by way of a private placement.
Following the further issue of shares in the issued share capital of AYO, AEEI’s shareholding in AYO would as a result of the share issue, scale back to 49 percent in AYO.
AYO reported an increase in revenue of 183 percent for the 2017 financial year end as compared to 2016, after acquiring majority stakes in various new companies as well as continued organic growth.
In terms of acquisitions, Abdulla said that AYO was engaging with numerous target companies, while continuing with further growth prospect in South Africa and into Africa.
As part of AYO strategic relationships and growth strategy, its empowerment credentials, various target companies have been selected for its complementary products and services to bolster the offering to its existing and new clients.
The capital raised on listing is predominantly to accelerate further growth through acquisitions and building further value creating relationships and partnerships.
The South African ICT market is experiencing exponential growth and consolidation to offer turnkey and digital solutions and AYO is well positioned to take its place as one of the leading and most empowered ICT Groups in the South African market.
AYO was established in 1996 and continued to adapt over the years within the local and international ICT landscape.
This agility in adapting enables AYO to grow organically and to acquire new businesses, partnerships and sourcing innovative technology within its existing portfolio.