Merger between two distributors creates $57bn distribution powerhouse
Distribution giant Tech Data has been renamed as TD SYNNEX as its merger with US SYNNEX is completed.
The duo announced the $7.2bn merger in March, creating a $57bn-revenue distribution giant with 22,000 employees.
Tech Data CEO Rich Hume will retain his position at the combined company, while SYNNEX chief exec Dennis Polk will take the position of Executive Chair on the Board of Directors.
“TD SYNNEX is uniquely positioned in today’s relentlessly transforming technology ecosystem,” said Hume.
“As a versatile distributor and solutions aggregator for the IT ecosystem, we’re strengthening our entire portfolio of solutions and raising the bar on the value we deliver to customers and vendors with exceptional reach, efficiency, and expertise. It’s an honour to lead TD SYNNEX with a talented team of 22,000 co-workers worldwide”
Polk added: “We are pleased to have completed the merger and are focused on integrating our businesses. We are energised by the enhanced breadth and depth of our offerings and the opportunities ahead of us to deliver superior value to our stakeholders.”
Tech Data was brought into private equity ownership by Apollo Management last year in a deal valued at $5.4bn. Apollo now owns 45 percent of TD SYNNEX under the new deal while the remaining 55 percent is owned by publicly-owned SYNNEX’S shareholders.
The merger will provide customers and vendors with “unparalleled” access to a global distribution platform, the new entity claimed. As well as that, TD SYNNEX is committed to being a “good corporate citizen”, according to Hume.
“Just as TD SYNNEX plays a vital role helping transform the technology landscape, we have an equally important responsibility to have a positive impact on the world,” he stated.
“Our focus on corporate social responsibility embodies our commitment to make the world a better place, both today and into the future.”