Global distributor Avnet is buying a German EMC distributor, Orchestra Service GmbH. Headquartered in Munich, Germany, Orchestra has developed storage-centric expertise and is positioned for market growth in areas such as cloud computing, big data and information management. The transaction, which is subject to normal regulatory approvals, is expected to close within 30 days.
Founded in 1998, Orchestra is a value-added distributor in Germany focused on backup and recovery, archiving, high availability replication and storage. Orchestra generated revenue of approximately $95m in the 2014 calendar year, and will be integrated into Avnet Technology Solutions’ EMEA business.
Graeme Watt, president, Avnet Technology Solutions EMEA commented “This acquisition presents meaningful opportunities for both Avnet and Orchestra to leverage our strengths and accelerate growth. Together we are able to scale Orchestra’s unique value propositions across EMEA – something we could not have done as separate companies. Orchestra is a strong fit to our Converged Infrastructure Solutions Strategy and positions us well for growth in the third platform and the Internet of Things. This acquisition is very complementary to our existing solutions portfolio in Germany and across EMEA.”
This acquisition is expected to be immediately accretive to earnings and achieve Avnet’s return on capital goal of 12.5%, it says.
