US reseller group Microage will acquire European dealers rather than distributors in its bid to go global, following its move to rename its wholesale business Pinacor.
As exclusively predicted in PC Dealer (8 April), Microage president John Lewis admitted that it would finalise European acquisition, despite the losses and restructuring it announced in February.
In its first quarter to 1 February, the distributor and Var group lost $5.4 million, which at the time it blamed on its decision not to join vendor buy-in programmes.
The company will continue to expand, said senior vice president and chief financial officer Jim Daniel, speaking at the Hambrecht & Quist Technology Conference in San Francisco last week. 'I would not be surprised to see us make a core acquisition in the European dealer space.'
Pinacor will retain its focus on the north and south America markets. Daniel said the company does not plan to buy a European distributor. 'But the integration business does need a global focus,' he said.
Microage, which has bought numerous US integrators in recent quarters, is the middle of restructuring, following lower than expected profit in recent quarters. The reseller's problems stem from poor inventory management.
Pinacor is ranked third largest in the US distribution market.
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