NEWS
Platinum Equity completes acquisition of Ingram Micro for US $ 7.2 billion
Private equity powerhouse , Platinum
Equity , has officially announced that it has completed the acquisition of Ingram Micro for US $ 7.2 billion in a blockbuster deal that frees the distributor from financially troubled Chinese conglomerate HNA Group in a transaction that includes US $ 5.9 billion of equity value .
The deal – which was expected to be finalised by the second quarter of 2021 – took seven months to complete .
With US $ 49 billion in revenue for fiscal year 2020 , Ingram Micro is the world ’ s largest provider of technology solutions and mobility , cloud , platform and supply chain solutions .
Now that the deal is done , it sets up an epic battle for distribution dominance between Ingram Micro and Tech Data- Synnex which will become the world ’ s largest distributor when it completes its merger in the second half of 2021 . That blockbuster Tech Data Synnex deal undoes Ingram ’ s three decade reign as the world ’ s largest distributor .
Founded in 1979 and headquartered in Irvine , California , Ingram Micro is an integral part of the technology and ecommerce ecosystems , helping its channel partners maximise the value of the technology that they make , sell or use .
“ As the largest technology distributor in the world , Ingram Micro plays a vital role helping companies innovate and adapt , which is especially important now as we continue to emerge from the pandemic ,” said Tom Gores , Chairman and CEO , Platinum
We are proud to join Platinum ’ s global portfolio of industry leading companies and are excited to begin our future with a prominent , USbased partner .
Alain Monié , CEO , Ingram Micro
Equity . “ Corporate IT priorities are shifting , e-commerce is thriving and the pace of digitisation continues to accelerate . We are excited to put our resources and experience to work helping Ingram Micro navigate these especially fluid times .”
With more than 35,000 employees and operations in 60 countries , the company serves more than 170,000 customers and channel partners with over 1,600 vendors , including the world ’ s best-known technology companies . Through its vast global infrastructure and focus on cloud , mobility , technology lifecycle , supply chain and technology solutions , Ingram Micro enables business partners to operate more efficiently and successfully in the markets they serve .
“ For Platinum , this acquisition is the culmination of more than a decade investing in the technology and IT distribution space ,” said Jacob Kotzubei , Partner , Platinum Equity . “ We know the industry well and our team is ready to hit the ground running .
With a strong balance sheet and access to Platinum ’ s financial and operational resources , Ingram Micro has a lot of attractive opportunities ahead .”
Alain Monié will continue to lead Ingram Micro as CEO supported by his leadership team , and the company will continue to be headquartered in Irvine , California .
“ We are proud to join Platinum ’ s global portfolio of industry leading companies and are excited to begin our future with a prominent , US-based partner with the desire and substantial resources to accelerate our innovation and our vendor and customer services and solutions strategies on a worldwide basis ,” said Monié . “ Platinum shares our vision for Ingram Micro and is dedicated to us continuing to develop and offer innovative solutions across the IT ecosystem .”
“ In addition to its core distribution business , Ingram has built strong capabilities in logistics services and , cloud and hybrid cloud solutions ,” said Matt Louie , Managing Director , Platinum Equity . “ The company has built those businesses methodically through a combination of organic and acquisitive investment . We expect to accelerate those efforts and aim for an even higher growth trajectory .”
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