JSE AltX-listed Dynamic Technology Holdings (DTH) has sold its subsidiary, Offline Digital, to On the Dot, a subsidiary of Naspers company Media 24, for R3,3 million in cash. DTH CEO Chris Wilkins says it has made the move for a number of reasons.
"Firstly, On the Dot approached us as Offline Digital's electronic content focus was a very good fit for them," says Wilkins. "Secondly, the purchase price represents a very good return for DTH, given that we paid R1,4-million two years ago for our 66,7% stake. Thirdly, while Offline Digital was a good fit in DTH, it is a perfect fit for On the Dot, the largest multi-channel media logistics business in Africa. So the transaction is a win for buyer and seller, and for Offline Digital, which can offer its digital publishing and content management services throughout this very large company."
On the Dot now aims to replicate what it is doing in the physical logistics environment with a similar digital content logistics strategy, and the acquisition of Offline Digital will fast-track the company’s own digital fulfillment platform, says On the Dot Innovations CEO Zyla de Bruyn.
“They have the skill set, they understand publishing, and the basic building blocks are there. Offline Digital gives us the development skills to move faster, be more agile, and lead the market in digital logistics.
"We are part of an R&D team being built in On the Dot," says Offline Digital MD Ryan Morison. "Our enterprise content management solution enables repurposing of content for publishing in a variety of formats across a variety of channels. Based on our existing solution offering, we will be developing a range of new concepts in On the Dot and help the business move faster into the digital space.”