Channon rubbishes Ilion buyout reports

Wayne Channon, founder of Ilion, has attempted to distance the distributor from growing takeover rumours by maintaining the company is attempting to go it alone.

His comments came at the same time as speculation that Ilion was the subject of a number of buyout approaches. One company tipped to be considering the purchase was US distributor Westcon, an affiliate of Datatec in the UK.

But Channon, ex-chairman of Ilion, told PC Dealer: 'On the rumour that Westcon is about to buy Ilion, I do not believe it for a second.'

One source claimed Westcon was due to table a bid for Ilion during the next two weeks.

To the suggestion that Ilion has been rejecting all offers brought forward, Channon said: 'I am bound by confidentiality, but to the best of my knowledge that is the case.'

Ilion has previously admitted that a number of parties held talks in December 1998 but nothing came of them.

Observers claimed that while offers had been made, Ilion was telling bidders to go away and sit tight until later in the quarter. It was believed that Ilion would wait until March, after the end-of-year results, to see whether the distributor had managed to recover.