Wegagen Fronts 98.8m Br to Digitise HQs

The bank will be investing in a data center and network installation

Two local companies and partnership with one foreign firm have been recruited to build a 98.8-million-Br data centre facility and to install network and security systems for the newly built headquarters of Wegagen Bank.

A joint venture formed between Alta Computec and Inlaks was awarded the installation of the data centre facility; while Moti Engineering was selected to install the network and security system. The Alta and Inlaks venture won the tender announced in early March as a restricted bid by offering the lowest price of 55 million Br; while Moti placed the low bid of 43.8 million Br for the network and security system. The technical evaluation was held on April 14, 2018.

The contracts were signed with the management of the company on September 26, 2018, and a kick off meeting was held two days following the signing of the agreement.

“The companies are expected to complete the projects in six months,” said Fikru Woldetensie, marketing and corporate communications director at the Bank, that was established in 1997 with 16 shareholders and an initial capital of 30 million Br.

Inaugurated a year ago, the one-billion Birr headquarters is located in front of Yidnekachew Tessema Stadium along Ras Mekonnen Street. The Chinese state-owned enterprise, China Jiangxi Corporation for International Economic & Technical Cooperation, constructed the building that took six years to complete. The 23-storey headquarters has a height of 107m and has become a landmark in the area. Wegagen has already moved into its new headquarters, where the National Bank of Ethiopia has leased commercial office space in the building.

The first bid lot for the project included installing the data centre equipped with air conditioning, power, physical control and tracking systems. For this lot, the joint venture of Alta and Inlaks competed against ASA Technology, IE Networks, V Tech Data Solutions and EBBA Engineeringamount other.

Alta Computec, one of the prominent multi-vendor IT systems integrators, was established in 1994 with a capital of 15,000 dollars that has now grown to 25 million dollars. Its joint venture partner has over 31 years of industry experience and has a customer base that includes the Apex Bank and 18 of the 24 banks in Nigeria and the West African region.

For the second bidding lot that includes integration and installation of network and security systems of the building, Moti competed with Symbol Technologies, WebSprix IT Solutions, Alta Computec partnering with Inlaks, IE Network Solutions and United System Integrator among others. Established by five individuals in 2006 with a registered capital of 100,000 Br, Moti is known as a leader in the automated teller machine supply chain with a record delivery of 4,000 ATM units in the country.

Previously, Moti undertook a similar project for Civil Service University, Ethiopian Revenues & Customs Authority, United Bank, the Ministry of Finance & Economic Cooperation and Motor & Engineering Company of Ethiopia (MOENCO), according to Abdulhamid Abdisubhan, general manager and founder of the company.

“The data centre will integrate all of the networks of the bank,” Fikru told Fortune.

Wegagen Bank’s network has reached 285 branches, and the 2016/17 fiscal year financial statement shows that its paid-up capital has pumped up to 2.2 billion Br with a shareholder base of over 2,349. During the last financial year, the bank grossed 933 million Br in profit after provision and depreciation, putting it in fourth place in the industry.

A year ago the bank invested over 200 million replacing its decade-old core banking solution in an attempt to build a robust database system and widen its capacity to serve its clients. The bank’s new solution, known as Flex Cube, was procured from Oracle, a US-based multinational database and software supplier, and it replaces the old system, OMNI Enterprise Core Banking Solution.

Management of Alta refrained from making comments when contacted by Fortune.


Published on Oct 15,2018 [ Vol 19 ,No 964]



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