SYNNEX Corporation (NYSE: SNX) and Tech Data reported entry into a definitive merger agreement where SYNNEX and Tech Data will merge in a transaction valued at USD 7.2 Billion. The new entity will have USD 57 Million in estimated pro forma annual revenues with a team of over 22,000 associates and colleagues to provide customers and vendors with reach across products, services, and geographies to push technology adoption. “We are excited to partner with a world-class industry leader like Tech Data and believe that this combination will benefit all our stakeholders,” said Dennis Polk, SYNNEX President and CEO. “This transaction allows for accelerated revenue and earnings growth, an expanded global footprint, and the ability to drive significant operating improvements while continuing to create shareholder value. We look forward to working with the talented colleagues at Tech Data and expect our combined business will create the opportunity for team members to produce the highest levels of service to our partners.”
“This is transformational for Tech Data, SYNNEX and the entire technology ecosystem. Together, we will be able to offer our customers and vendors exceptional reach, efficiency, and expertise, redefining the experience and value they receive,” said Rich Hume, Tech Data CEO. “The combined company will also benefit from significant financial strength to invest in its core growth platform as well as next generation cybersecurity, cloud, data, and IoT technologies, which are experiencing explosive growth due to work from home and return to office trends. We could not have reached this milestone without the hard work of our colleagues, and we look forward to working together with the SYNNEX team to seamlessly bring our companies together and to create meaningful value for all our stakeholders.”
The transaction is expected to close within the second half of calendar year 2021, subject to certain customary closing conditions.