As revealed in PC Dealer, Microage planned to buy its way into the European market over a year ago, but sources had recently predicted that the company would delay its move into Europe because of its recent financial woes released in February.
In its first quarter to 1 February, the distributor and Var group lost $5.4 million, which it blamed on its decision not to join vendor buy-in programmes.
But John Lewis, president of Microage's integration unit, confirmed that the company's negotiations to buy a European reseller were 'in the process of being wrapped up'. He said Microage will buy a company with which it already has a partnership agreement - which points to several possibilities.
Some observers have tipped Tplc as a suitable candidate for Microage to buy. Tplc is owned by Fujitsu, which acquired the reseller and distributor organisation when it bought ICL in July 1996.
Both ICL and subsequently Fujitsu-ICL denied they would sell Tplc. Microage signed an assembly deal with Fujitsu in July 1997.
Microage also announced that its distribution arm, split from the Var business as a result of the February restructuring, will be called Pinacor.
Bob O'Malley, president of Microage, is expected to assume control of Pinacor, while Lewis is expected to become Microage president. (See news, page 12).
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