Lynx picks up Globelle for #3m
The Lynx Group finally ended months of speculation over the future of struggling networking distributor, Globelle, when it bought the company for #3 million.
Canadian-based distribution group Globelle first put its UK subsidiary up for sale in July 1997 - its parent wanted to concentrate on its Canadian operations. It had previously sold off its US arm to SED for $13 million.
Mark Hatton, managing director of Globelle UK, said he was pleased with the deal. 'A lot of people looked at the company, but Sphinx was the best of the lot.' Hatton insisted that there would not be any job losses as a result of the buy.
Globelle becomes the network systems division of Sphinx CST, headed by Hatton, in his new role of director and general manager.
Both companies will spend the next 30 days checking their customer lists and planning the integration. Hatton claimed there was very little cross-over between the companies' client databases.
He said there would be no drastic change of direction for the networking and training company.
Mike Briercliffe, business development director at Sphinx CST, said the deal would give the group a good presence in a sector it did not cover.
He said the companies had different vendors and together had provided a complete product and services package. He denied there had been any delay with the deal except complications surrounding acquiring a subsidiary of a Canadian-owned US company.
A source at a competitor said it was a good deal. 'It will give Globelle the opportunity to tweak its model after nine months in limbo.' She added that it should be good for both customers and vendors.
Globelle will stay in its present location for now, but may relocate to Slough over the next six months.