AGC Networks on Friday said its subsidiary, Black Box Holdings, will acquire a majority stake in Z Services HQ DMCC for about $3.94 million.
Black Box Holdings Ltd, an indirect wholly-owned subsidiary of AGC Networks has entered into a share sale agreement with Z Services Holding Ltd, a BVI business company incorporated in the British Virgin Islands on March 11, 2021, a regulatory filing said.
Under the agreement, Black Box Holdings will acquire 76 per cent of shares of Z Services HQ DMCC for a total consideration of approximately $3.94 million, payable at the time of closing, it added.
“The said acquisition of the target company will help AGC to strengthen its presence in the Middle East region and also add cloud cybersecurity capabilities to offer a wider range of services to our customers. This will also give rise to an opportunity to cross-sell to the current customers,” the filing said.
The acquisition, which will require approval from DMCC, is anticipated to be completed within 60 days of signing the share purchase agreement, it said.
Z Services HQ DMCC is a limited liability company incorporated under the laws of Dubai Multi Commodities Centre (DMCC) and is engaged in the business of providing services in relation to cloud cybersecurity architecture that includes web, email, cloud application, unified access management, cyber forensic, security operation centre, incident response and risk cybersecurity.
It has 22 employees including sales, operations and support staff. Its consolidated revenue in FY2020 (12 months ending December 2020) was approximately $7.24 million.