News

T-Systems South Africa co-operates with Transnet’s Board to end court case

26 Oct 2018

  • T-Systems South Africa is focusing on its future strategy to be a more flexible and innovative services provider that is seen as the ICT partner of choice 
 T-Systems management and its stakeholders have put its long-standing relationship with Transnet at the forefront and has agreed to co-operate with Transnet to end the court case relating to an award of the contested IT Data Services Tender.
“We want to cooperate with government and Transnet and we have decided to honour the decision and enable the process to move forward.” says Dineo Molefe, managing director of T-Systems South Africa.
Molefe adds that “T-Systems is focusing on growing its client base and being a more agile and innovative services provider that is seen as the ICT and Digitisation partner of choice, with the support of its parent company”.
“We are well advanced in developing new skills in our business and revitalising our business and technology landscape to become nimbler and better able to service our customers, including offering industry specific solutions. We are already seeing success and we want to focus on our business growth.”
In March 2017, T-Systems SA received a “Letter of Intent” from Transnet indicating that it was the preferred bidder and that Transnet wanted to start contract negotiations. Following a complaint from a competing bidder, Transnet - through its previous board - initiated a court application to award the RFP for IT Data Services to the competing bidder, subject to a declaratory order by the Court. T-Systems opposed the application on legitimate grounds.
In a letter dated 21 September 2018, the new Transnet Board, affirmed the previous Board’s decision to award to the competing bidder and requested T-Systems to withdraw its opposition on the basis that a prolonged litigation was not in the interest of all Parties.
Following extensive consultation and with the backing of its shareholders, and in the interests of all parties involved in the matter, T-Systems Management agreed to co-operate with Transnet.
Molefe emphasises that the decision to be cooperative was under no circumstances to be construed as T-Systems withdrawing what it has said in the various affidavits that have been filed on its behalf in the pending court proceedings and that T-Systems would be focusing on ensuring job continuity for its affected employees through the process.
Molefe also confirmed T-Systems’ commitment to ensuring a smooth transition to Transnet’s new service providers to ensure there is no disruption to Transnet services.