Logitek snaps up Typhoon
Lancashire distributor Logitek has plucked the lucrative Typhoon contract from the remnants of Osmosis' hardware business following the Middlesex distributor's withdrawal from the sector.
Osmosis ceased dealing in hardware three weeks ago in an effort to save the company (PC Dealer, 28 April). Its departure has left several contracts available for tender, including Daewoo, LG, Panasonic and Samsung. The Logitek arm, established earlier this year and run by ex-Memsolve staff, has snatched the Typhoon Multimedia contract, worth an estimated £2 million.
The Logitek operation was originally set up to target clients from the defunct Widnes component distributor, Memsolve. However, according to Chris Walmsley, sales manager at Logitek and former Memsolve marketing manager, the business is ready to expand and the Typhoon contract marks the start of the development.
'The deal was worked out on 30 April and we had confirmation on the following Tuesday. We have looked at the potential of other hardware areas left by Osmosis.'
Walmsley confirmed it would continue to look at other contracts dropped by Osmosis. However, a healthy pace has already been set by Logitek's win of the distribution contract for LG's Logix brand of monitors, which will launch this week in the UK.
'The Memsolve clients were simply a springboard. Typhoon will mean increasing our client base in the retail area,' added Walmsley.
Memsolve fell into administrative receivership in February leaving debts of up to £5 million. A Customs & Excise raid on 4 November 1998, which was part of a £10 million VAT fraud investigation, triggered its collapse.