Italy-listed Esprinet SpA is buying Spanish distributor Vinzeo from owner IBV. Vinzeo, with almost €600m sales in 2015 is the 4th largest distributor in Spain, with over 20,000 products and a warehouse located in Daganzo (Madrid).
The acquisition is subject to obtaining the necessary authorizations and is expected to be completed around the middle of this year.
The total price agreed between the parties amounted to €74.1m for 100% of the capital of Vinzeo based on the average of working capital in the last 12 months and a positive net financial position at 31/03/2015, with an implied enterprise value of €57.6m. Esprinet has been supported by Banca IMI, as financial advisor, Gómez-Acebo & Pombo as legal counsel, PWC Italy for the financial due diligence and Landwell-PwC Spain for tax.
Vinzeo, founded in 2000 as a result of the merger between the Spanish distributors of accessories and telephony products, has increased its scale and range of its business through both organic and external growth in recent year. Currently it holds important distribution contracts to both ICT in 'volume' (including HP, Samsung, Acer, Asus, Toshiba, Lenovo) and the 'value' segment (in particular with Hewlett-Packard Enterprise). Since 2009 Vinzeo has been a major distributor of Apple products, including iPhone (since 2004) and Apple Watch (2015).
The headquarters is in Madrid, with branch offices in Barcelona and Bilbao, with 170 employees led by an experienced management team. The 2015 turnover was made up for 48% of PCs, notebooks and tablets, for 36% of mobile telephony and the remaining 16% from devices, servers and accessories, and at €584.4m was up 19% compared to 2014 with an an EBITDA of €7.5 million.
Through this, Esprinet will jump to first place in the Spanish distribution market, strengthening its product portfolio, in mobile telephony, and customers and also acquiring a new sector with the distribution agreement with Hewlett-Packard Enterprise and distribution of products in the data centre area that complement the current Spanish business.
Esprinet says it expects to generate significant synergies by the jump in scale in Spain. From a commercial point of view, the operation will produce a better level of service for customers who will benefit from a "one-stop-information and shopping experience" higher-level, with an offer that ranges from products for "data centre" to phone accessories, it says.
In order to ensure the best possible level of service to both customers and its suppliers and take advantage of the experience of the management and the Vinzeo network, it will be owned by Esprinet Iberica (which will become the parent company of the Spanish distribution activities) but managed as a separate entity by the current management of Vinzeo. Acquisition is subject to obtaining the necessary authorizations and is expected to be completed around the middle of this year.