US green lights Bell-Avnet merger
US and Canada give distribution union antitrust approval
Numbers game: Bell has refiled accounts with the SEC for 2009 and Q1 2010
Bell Micro's acquisition by Avnet inched closer today with news that the deal has been given the antitrust thumbs-up in the US and Canada.
An antitrust filing has also been made in Europe and, subject to approval, the merger remains on course to go ahead in little over a month. Bell shareholders also need to give the acquisition the green light, and a vote is scheduled for 28 June.
In April, Bell filed a preliminary proxy statement with the US Securities and Exchange Commission (SEC). A definitive proxy statement, containing "important information about the proposed merger", will soon be made available to shareholders.
Shortly after the buy-out agreement was announced in March, Bell's shareholders revealed they had retained the Kendall Law Group to investigate the deal's fairness.
But Bell chief executive Don Bell claimed the acquisition is still very much on track.
"Activities required to close the merger continue to progress well and we look forward to joining with Avnet in the near future," he said. "This combination will deliver tremendous value to our customers, suppliers and shareholders."
Roy Vallee, chief executive of Avnet, claimed his firm "looks forward to completing the merger in early July".
"With the addition of Bell Micro's scale and scope, Avnet will become a stronger player in key technology vertical markets, principally datacentre products and embedded systems, and we will be well-positioned to capitalise on growth opportunities in Latin America," he added.
Bell also revealed today that cash flow statements in its consolidated accounts for 2007, 2008 and 2009 "contained errors and required adjustment". Accounts for 2010's first quarter also needed amendment, explained the distributor.
The mistakes "pertained to the impact of foreign currencies", but Bell asserted that rectifying these will not alter its previously stated net profit or balance sheet data. Amended accounts for 2009 and Q1 2010 were filed with the SEC today.