InterX rejects MBO for Ideal

InterX has ruled out a management buyout of its IT distribution division, Ideal Hardware, contrary to speculation.

InterX has ruled out a management buy-out (MBO) of its IT distribution division, Ideal Hardware, contrary to speculation.

James Wickes, chief executive at InterX, said an MBO "doesn't provide sufficient value to shareholders".

Wickes refused to confirm whether any bids had been tabled, but it is understood that two offers will be made later this week. Both Ingram Micro and Computer 2000 are not expected to be on the shortlist, prompting speculation this will pave the way for a US distributor looking to gain a foothold in Europe.

At the CTS show in Birmingham in January, US distributor Avnet said it was hoping to buy in Europe this year and had amassed a war chest of $1bn (£625m).

Last week InterX said it was "progressing" with the separation of Ideal Hardware. The group also said it would raise its investment in its Internet portal, ITNetwork, from £30m to £50m and would extend the portal to other vertical markets.

Last month InterX bought Cromwell Media for £226m, mainly for its business-to-business transaction software, Bladerunner.

InterX will rename the Cromwell subsidiary InterX Technology this week.