Avnet announced that it has completed the acquisition of Bell Microproducts and Tallard Technologies today.
The acquisition of Bell Micro was approved by its shareholders, which represented more than 98 per cent of the total votes cast and also received all regulatory approvals.
The deal, which was an all-cash merger, went for $7 a share, which is an approximate equity value of $252 million, giving the transaction a value of about $631 million, assuming net debt position for Bell Micro of $379 million at face value as of March 31, 2010.
The acquisition of Bell Micro marks Avnet’s largest historical acquisition based on revenue.
“The acquisition of Bell Mirco … strengthens our position in the Americas and Europe and expands our presence in the fast-growing Latin America market,” Roy Vallee, chairman and CEO of Avnet said.
In the calendar year for 2009, Bell Micro’s sales totaled about $3 billion. The value-added distributor’s portfolio consists of computing, networking products and software, storage and networking products.
Bell Micro’s Latin America and EMEA businesses, in addition to its North American data centre business, will be integrated into Avnet Technology Solutions. Bell Micro’s North American embedded business, including embedded components like hard disk drives, will be integrated into Avnet Electronics Marketing
Avnet’s second acquisition is with another value-added distributor, Tallard Technologies companies, which is part of Itautec S.A. – Grupo Itautec.
This distributor focused on delivering solutions to the Latin America market and will thus help to increase Avnet’s overall reach and scale in this region.
In the calendar year for 2009, Tallard’s revenue was about US$250 million. Tallard will become part of Avnet Technology Solutions, Americas.
