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29 Jan 2007
The race to buy pan-European security distributor Noxs has been blown wide open following a late entry by Westcon Group.
Arrow, and its German subsidiary DNS, which recently acquired InTechnology, was favourite to land Noxs after it announced it was up for sale in October (CRN, 23 October), but CRN understands that Westcon has now thrown its hat into the ring.
Guy Koster, vice-president technology solutions group at Westcon Group Europe, declined to comment on the speculation, but said: “We’ve gone on the record as saying we have aspirations to make our security business a more strategic element of our plans going forward. This may or may not include acquisitions.”
Less than a year ago, Westcon narrowly lost out to Horizon in the bidding war for security distributor equIP (CRN, 6 February).
Westcon’s parent, South Africa-listed IT group Datatec, is also looking to support Westcon’s growth with acquisitions after listing its shares on the London Alternative Investment Market in October (CRN, 3 October).
Grahame Smee, ex-managing director at equIP, said: “Based on previous experience, Westcon is keen to get a foothold in the security market and Noxs is a convenient way to do this. It would also help to broaden its reach and spread into different areas.”
David Ellis, director of e-security at distributor Computerlinks, said: “I’ve heard the speculation linking Westcon with Noxs. I could see some logic in it – Westcon has tried to get into the security market by hiring a few specialists, but hasn’t really penetrated the market. It might be easier if it bought into the sector.”
Nigel Hawthorn, marketing director EMEA at Noxs partner Blue Coat, said: “It would be easier for everyone if the situation resolved itself so we can all plan ahead.”
Noxs achieved a turnover of €90m in the first six months of 2006. Dutch parent Unit 4 Agresso said the business is worth €50m to €60m. However, some onlookers have argued that the price tag is too high after rival Allasso sold for just €30m last year.
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