Logicalis to Take Avnet's HP Unit
Page 1 of 1
Consolidation among technology and service providers is a familiar tune, and Logicalis knows it. The company agreed to buy Avnet's U.S.-based HP enterprise end-user business for an undisclosed sum.
Logicalis, a major HP partner and IT integration specialist, inked the deal for the $100 million unit with Avnet Partner Solutions, a division of Avnet that distributes HP servers, storage, software and services to corporations.
"This acquisition will solidly position Logicalis not only as a leading Unix-platform and storage high performance integrator, but also as a leading Wintel/Linux-platform solution provider," said Mike Cox, president and CEO of Logicalis' North American operations, in a statement.
The deal follows a flurry of acquisitions to improve the Bloomfield Hills, Mich.-based ability to integrate technology from its top product lines, which include HP, IBM, Cisco and EMC.
In March 2005, Logicalis acquired Eisco Technology, a $20 million company that serves high-end IBM zSeries mainframe solutions. In August 2004, Logicalis purchased Solution Technology Inc. (STI), a $90 million IBM partner.
Logicalis has also made several recent buys in Europe, including IBM Premier Partner TBC, IBM Business Partner Notability and HP Elite Partner Hawke Systems, all of which have closely aligned Logicalis' U.S. and European operations.
Logicalis, an HP platinum partner, anticipates strong organic growth combined with the successful integration of its acquisitions.
Should the deal succeed by January 2006 as expected, Logicalis' U.S. revenue will exceed $450 million and annualized global revenue will be approximately $700 million.