/ 25 February 2005

Pop star in R9m BEE deal with Gestetner

NRG Gestetner South Africa, the wholly owned multinational subsidiary of NRG, has entered into a R9-million black economic empowerment (BEE) partnership with Chaka Chaka Investments — led by singer Yvonne Chaka Chaka, who will take on the role of CEO at Gestetner Tshwane.

Together, the partnership has invested in Gestetner Tshwane — a Gestetner reseller — with 74,9% being held by Chaka Chaka and 25,1% by the local Gestetner unit.

It is the first time that any of the global Gestetner subsidiaries have taken a holding stake in a reseller company, and Gestetner Tshwane will be the first empowered Gestetner associate company in South Africa.

Gestetner is a leading provider of total document solutions. A key member of Ricoh Group, Gestetner provides cutting-edge IT-based product and software solutions for the document management cycle, combined with world-class customer support and consultancy.

A key element of the partnership is that the Tshwane group is not limited to only conducting business in Pretoria but has the scope to operate all over South Africa.

“As the wholly owned subsidiary of the office automation giant Ricoh, it has been very difficult for us to really support black economic empowerment in South Africa,” NRG Gestetner SA MD Richard Pinker said.

“This investment is significant as it has allowed us to demonstrate our faith in and commitment to transformation. It also makes good business sense.”

The singer, also known as the Princess of Africa, said: “Chaka Chaka Investments is more than a wealth-creation vehicle for its shareholders. It is committed to actively addressing the transformation challenges that face South African companies and this cannot be done by attending one AGM [annual general meeting] a year.

“I need to be right in the business, supporting financial growth so that we can create jobs, transfer skills and play an important social responsibility role.”

Pinker said he would be “very surprised and not a little disappointed” if the Pretoria unit does not double its equipment base — currently at about 2 000 machines — by January 2006. — I-Net Bridge