One of the world’s largest investment firms is making a splash in the technology products sector by buying the world’s largest distributor of computer and technology products.
Platinum Equity announced on December 9 that it has reached an agreement to acquire Ingram Micro, a distributor of information technology products, in a deal valued at $7.2 billion. Platinum Equity is buying Irvine, California-based Ingram Micro from its parent company, China-based HNA Technology, which acquired the company in late 2016 in a $6 billion deal.
The transaction gains Platinum Equity a company with more than $47 billion in 2019 total sales, 35,000 employees, and a presence in 60 countries.
Along with the distribution of products that include software, printers, network and storage devices, security products, and accessories, Ingram Micro provides commerce and lifecycle services, financial credit offerings, sourcing solutions, point-of-sales solutions, and other professional services.
The acquisition is expected to be completed by the first half of 2021, and Platinum Equity said that Ingram Micro CEO Alain Monié will continue in his role.
Los Angeles-based Platinum has about $23 billion in portfolio assets, and the Ingram Micro deal will push that total to approximately $30 billion.
Platinum Equity’s previous 2020 announced acquisitions (either direct or through an affiliate subsidiary) include:
- Custom Truck One Source for $1.475 billion – announced December 3
- L&R Distributors – announced July 1
- Deluxe Entertainment Services’ distribution business – announced July 1
- Bond Manufacturing’s garden business – announced June 1
- Farnese Vini – announced April 1
- Biscuit International – announced February 14
- Cision Ltd. in a $2.7 billion deal – announced January 31
- Centerfield – announced January 21
- Wesco Aircraft in a $1.9 billion deal – announced January 9
Platinum Equity’s announced divestments during 2020 have included:
- PrimeSource – announced November 13
- PAE – announced February 10
Source: Thomas Insights
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