Ingram Micro to go 'home'

Ingram MIcro has conjoined with AVAD to further its electronic strategy

Bullish broadliner Ingram Micro has bolstered its consumer electronics strategy with the acquisition of certain net assets belonging to specialist US home technology distributor AVAD.

The cash transaction includes a $120m up-front payment and further payments of up to $80m over the next three years if certain performance levels are achieved.

Chief executive of Ingram, Greg Spierkel, said: “Technologies for the home are becoming more complex, often requiring experts to install home automation and entertainment. This is an opportunity to further differentiate Ingram and enter a profitable new market.”

Clive Longbottom, service director at Quocirca, said: “The consumer electronics market is massive at the moment. Ingram Micro has made the right move, provided it continues to concentrate on the US and doesn’t try to spread its wings too much into Europe for the time being.”