HENSOLDT-Tellumat Deal: German defence electronics and sensor giant HENSOLDT has signed an agreement to acquire the Air Traffic Management (ATM) and Defence & Security business units of South African firm Tellumat. The acquisition will see HENSOLDT further expand its portfolio as well as its presence in Africa, said the company.
The agreement was signed by Rynier van der Watt, Managing Director of HENSOLDT South Africa and Andrew Connold, CEO of Tellumat, during a virtual ceremony hosted by HENSOLDT at its offices in Pretoria on 26 June. However, the company issued the press statement after four days on July 1.
The transaction will be effective as soon as all regulatory approvals have been obtained, HENSOLDT said.
“With this transaction we are combining the activities of two leading defence electronics providers and strengthening our position as a leading defence, security and electronics brand in South Africa,” said Rynier van der Watt, Managing Director of HENSOLDT South Africa.
“The complementary product portfolios of HENSOLDT South Africa and Tellumat create a complete sensor solutions offering, that is in line with that of the HENSOLDT Group.”
Van der Watt added that, “We will create new products and services that will build upon the significant expertise that is being acquired.”
“HENSOLDT South Africa and Tellumat have business areas that complement each other, including sensors and communications, particularly for unmanned aerial vehicles and other airborne intelligence, surveillance and reconnaissance (ISR) applications,” said the German defence electronics and optronics giant.
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The acquired activities represent a workforce of more than 100 people across offices in Cape Town and Pretoria, with demonstrated expertise in a range of capabilities complementing HENSOLDT South Africa’s offering.
Tellumat’s defence and security portfolio covers identification friend or foe (IFF) systems, tactical communications (including radio and video links), and unmanned aerial vehicle (UAV) systems, including a full suite of data links and avionics.
Tellumat’s Air Traffic Management portfolio includes the supply, installation and maintenance of radar, navigational, voice communication and runway lighting systems for military and civilian airports.
Tellumat was established in 1963 as Plessey South Africa, and became Tellumat in 1998.
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“While this new relationship advances the legacy of Tellumat’s well-proven and innovative products, services and solutions, it also further expands the sales reach of the acquired business units through the global footprint of the HENSOLDT Group,” Connold said.
HENSOLDT South Africa said the transaction is in line with the company’s aim to see targeted growth and expansion as it focusses on both the local and international markets.
HENSOLDT South Africa was formed in September 2019 as the brand housing HENSOLDT Optronics and GEW.
The company said it remained deeply committed to investing in the growth of its footprint in South Africa and the acquisition of the Tellumat business units is an example of that commitment.
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Celia Pelaz, Group Executive South Africa, Hesoldt
“This acquisition is a further step in the HENSOLDT Group’s commitment to continue to invest in South Africa and to grow HENSOLDT South Africa as one of its home countries,” said Celia Pelaz, HENSOLDT Group Executive responsible for South Africa.
“We are leveraging the power of the HENSOLDT brand to expand its global footprint and open new market opportunities for the South African business,” Celia Pelaz added.
The Tellumat transaction proves that HENSOLDT South Africa is well positioned to achieve its goal of becoming the leading sensor solution and defence electronics house in the region.
HENSOLDT believes that international investment and cooperation utilising local infrastructure, skills and capacity is a proven recipe for local economic growth and business success.
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About HENSOLDT South Africa
HENSOLDT South Africa is a pioneer of technology and innovation in defence and security electronics.
HENSOLDT South Africa brings together a comprehensive range of products, systems and services across defence and civil markets, from electronic warfare and optronics, to spectrum monitoring and security solutions.
With more than 600 local employees, HENSOLDT South Africa has an annual turnover of R1.5 billion.
About Tellumat
South Africa based Tellumat is a leading player in electronic technology serving the defence and security and air transport industries in the country. Tellumat has a more than 50 years of technological experience and innovation in the field.
Tellumat’s defence and security business unit has 35-year experience as a supplier of line-of-sight communication solutions for UAV applications, as well as medium class Astus UAV.
Tellumat is a stock market listed entity and recently generated sales of more than R500 million.
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