Distribution behemoth Ingram Micro has increased its presence in China by acquiring the distribution business and certain assets of the Cantechs Group.

The acquisition for an undisclosed sum will strengthen Ingrams auto-identification and data capture/point of sale (AIDC/POS) portfolio in the region. Cantechs Group, which has a presence in 20 Chinese cities, is one of the top three AIDC/POS distributors in China, with vendor partners including IBM, Metrologic, Symbol and Zebra.

Shailendra Gupta, president of Ingram Micro Asia-Pacific, said: "This is a small, yet strategic acquisition that provides an excellent platform to expand AIDC/POS through China and other parts of Asia. AIDC/POS is a segment with great opportunities in Asia, generating better margins than more common information technology products. By acquiring the Cantechs distribution unit, Ingram Micro is gaining a solid presence in this category within the large, growing Chinese market.

"The Cantechs distribution business is profitable and growing, with a talented management team and valuable relationships with key vendors and customers. We look forward to working with this team and its partners to further our collective growth and success."

The Cantechs business will be integrated into the China operations of Ingram Micro Asia-Pacific as a standalone unit responsible for AIDC/POS sales.

Maggie Wei, general manager of the Cantechs distribution business said: "We are pleased to forge this partnership with Ingram Micro. It understands our business and the unique needs of our employees, vendors and customers. We are confident that we will maintain excellent customer and vendor service through this transition. We look forward to gaining access to Ingram Micro's breadth of expertise and financial strength."