Synnex (SNX) shares rose on Monday after the call-center operator and tech-hardware distributor agreed to merge with New York private-equity firm Apollo Global Management’s Tech Data unit, a deal valued at $7.2 billion including debt.

Shares of the Fremont, company at last check rose 6.2% to $109.64. Shares of Apollo Global were 0.9% higher at $47.73.

Tech Data is the Clearwater, Fla., technology distributor for companies like Apple (AAPL) and Cisco (CSCO). Apollo acquired Tech Data in 2020 in a deal valued at about $6 billion.

Terms of the current deal call for Synnex to issue 44 million shares to Apollo affiliates, and refinance Tech Data’s current net debt and redeemable preferred shares, the two companies said.

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Source: The Street

By Vidhi Choudhary