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YEAR: 2004
BUSINESS DESCRIPTION: Bulk SMS messaging services
FUND: Ethos Technology Fund
ENTERPRISE VALUE (R'M): Not disclosed

Optimising air space

Ethos Technology backs bulk messaging rising star

Ethos Technology has acquired 45 percent of leading bulk SMS messaging service provider Clickatell. In a booming global industry, the South African company has achieved a global top-ten positioning, with more than 90 percent of its revenues sourced from international clients.

Over the last two years, Ethos Technology has developed a strong relationship with Clickatell's management team. The transaction will see the Ethos Technology Principals bring their global industry networks and strategic, operational and investment experience to the wireless telecommunications table, playing an active role in supporting management in the local and international growth of Clickatell.

Ethos Technology based its investment rationale on the fact that, for a fraction of the cost relative to its competitors, Clickatell has built differentiation and market leadership in one of the highest growth industries in the world.

In terms of lifecycle positioning, Clickatell's broad connectivity and robust technology position it for exceptional and scalable growth through the development of further strategic relationships with key industry players.