JSE listed Adapt IT has announced that it has acquired 100% of Aquilon, a South African based oil and gas specialist consultancy in a R98-million deal. This strategic acquisition will enhance Adapt IT’s expansion into Africa’s growing energy sector, strengthen the company’s presence in the Western Cape and bolster its growing SAP solutions expertise.

Aquilon, founded in 2006, designs, implements and supports SAP IS-Oil and other supply chain IT solutions in South Africa and internationally and services six of the major oil companies.

Aquilon will form part of Adapt IT’s new Energy division (specialising in oil and gas) and expands the Group’s operational sites to include Cape Town. Cape Town is becoming a favoured international location for Business Process Outsourcing (BPO) and offshoring as global companies seek to remain competitive.

Sbu Shabalala, CEO of Adapt IT, says the acquisition will contribute significantly to the company’s growth strategy.

“The acquisition is aimed at improving our solutions and services to benefit our current and future clients, and will position the company to continue delivering meaningful long-term value to our shareholders.”

Adapt IT has a stated intent of acquiring strategic and earnings-enhancing software businesses.

The Aquilon executive team has extensive oil and gas experience in IT implementation projects around the world and is a strategic fit for Adapt IT as it seeks to diversify into the oil and gas sector. Shabalala added that a critical component of the deal was the cultural synergy and depth in management, which this transaction brings.

“This business combination brings together the unique professional experience of Aquilon and Adapt IT, which will significantly enhance the company’s exciting energy strategy and strengthen our ability to improve controls and efficiency in the oil and gas supply chain,” says Derek Szabo, MD of Aquilon.