AYO to end provision of ICT services to Sasol at end of July by 'mutual consent'

AYO Technology Solutions says it will be ending its provision of ICT services to petrochemical company Sasol the end of July by mutual consent. 

"The settlement agreement was made on order of court on Tuesday, 4 February 2020," the JSE-listed ICT group said in an update to shareholders on Thursday, meaning that the dispute would not have to be referred to arbitration. 

AYO falls under Sekunjalo, the investment holding company of Cape Town businessman Iqbal Survé.

It previously said it had declared a dispute with Sasol, one of its largest clients, after the chemicals and energy company in 2019 gave AYO six months’ notice to terminate its ICT Master Services Agreement.

AYO said in Thursday, that according to the terms of the settlement agreement, it will continue to render ICT services to Sasol until 31 July 2020, whereafter the agreement will terminate.

Howard Plaatjes, Chief Executive Officer of AYO, said in a statement: “We are glad that we have reached a mutually agreeable arrangement with Sasol, which also leaves the way forward for Sasol and AYO to work together on other projects in the future.”

* This article has been updated to include comment by Plaatjes

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For only R75 per month, you have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today.
Subscribe to News24
Rand - Dollar
14.02
+0.6%
Rand - Pound
19.90
+0.2%
Rand - Euro
17.12
+0.1%
Rand - Aus dollar
10.93
+0.2%
Rand - Yen
0.13
+0.3%
Gold
1,868.07
+0.1%
Silver
28.37
+0.7%
Palladium
2,898.00
-0.1%
Platinum
1,221.50
-1.8%
Brent Crude
69.46
+1.1%
Top 40
61,349
+0.3%
All Share
67,436
+0.3%
Resource 10
71,059
+0.6%
Industrial 25
83,995
+0.0%
Financial 15
12,683
+0.6%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Voting Booth
Please select an option Oops! Something went wrong, please try again later.
Results
Yes, and I've gotten it.
21% - 1483 votes
No, I did not.
52% - 3680 votes
My landlord refused
27% - 1953 votes
Vote