BATSOMI Investments, majority owned by Jacob Modise, has bought a 26% stake in technology provider Thales SA (TSA).

The companies did not disclose the value of the shares but it is estimated at about R35m.

TSA is a subsidiary of French- based aerospace, defence, security and transportation systems provider Thales. The deal with Batsomi Investments will further grow TSA's businesses in the country.

TSA's focus is in the field of defence electronic systems where it supplies the South African National Defence Force. It also provides air traffic management network systems to the Air Traffic and Navigation Services.

Gautrain uses TSA's technology and equipment for its signal and ticket system.

Thales's local operation would be used as a competence centre for the development and manufacture of some of Thales's international products, the company said. TSA is already exporting to countries in Europe, the Middle East and Asia.

Thales International's vice- president for the Africa region, Cedric Costes, said Thales saw "excellent growth" potential in emerging markets and "it makes perfect sense" for Thales to use SA as a springboard into the region as it is the continent's leading economy. Mr Costes said Batsomi was a strategic partner that could help TSA unlock this business potential.

Batsomi executive director Leonard Makhanda said the transaction gave Batsomi an opportunity to grow its business into new markets and products, both locally and internationally, in partnership with the Thales Group. Batsomi directors Mr Modise and Eza Buku have been appointed to TSA's board.

Batsomi's other investments are in healthcare, electricity and motor industries. It also owns a 25,2% stake in Atholl Developments, a company that owns and operates the Protea Wanderers Hotel in Johannesburg.

With acknowledgement to Thabiso Mochiko and Business Day.