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Britehouse strengthens SAP presence

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South African application services specialist, Britehouse, has received Competition Commission approval to acquire a 75% stake in OneArch, a local SAP consulting specialist focused on the industrial sector. 

OneArch has customers in chemical, manufacturing, consumer products, wholesale, retail and distribution.
Britehouse believes this acquisition strengthens its position in the SAP space allowing it to leverage its existing investments and become a tier-one SAP specialist offering supply, implementation and SAP support services.  The deal will also bring strong potential for growth into the Sub-Saharan Africa market and the Middle East.
As per Britehouse’s usual practise for acquisitions, 25% of the shareholding in OneArch will remain in the hands of its management team, ensuring that the same entrepreneurial spirit, management structure and culture that has served OneArch so well over the past years, continue to be a recipe for success.
Scott Gibson, CEO of Britehouse, says the deal sees a vital part of Britehouse’s strategy for growth coming to fruition. “We have stated our intentions to investigate and conclude acquisitions in order to complement our various offerings, the acquisition of One Arch is an example of this”.
“At group level, the company is now capable of drawing on nearly 200 specialist SAP resources within its investments in Pebbletree and OneArch, to create an extremely competent SAP practise that has the scale to handle some of the largest projects undertaken in the local market.
“And since both Pebbletree and OneArch have a focus within similar verticals, the synergies we’ve identified thus far will undoubtedly make these companies a strong combined force in their chosen markets,” he says.
“Britehouse also has a 31% investment in JSE listed ICT resourcing and solutions Company Paracon and this means that we have access to over 3000 resources inherent within the Britehouse brands as well as Paracon. We therefore have the ability to leverage each others past success and become the best Software Application Services business in this market,” Gibson adds.
Rob Hunter, director of OneArch says that the deal couldn’t have come at a better time for his company and that it plays strongly into existing plans the organisation had for its growth.
“As a privately-owned company, we felt OneArch had exhausted its potential for future growth and that only the ability to leverage the weight of a much larger organisation could we keep the pace of our progress rolling. By taking Britehouse on as a primary investor, we believe OneArch is strongly poised to enter its next growth phase.
“The synergies that already exist between Pebbletree and ourselves in the manufacturing, chemical, logistics and mobile arenas are extremely compelling and make us one of the strongest SAP focused organisations in the local market.
“Once we add the potential of consolidating costs into the mix, I believe we will see even further benefit to this deal,” he adds.