Tech Data and Synnex finalise $7.2bn merger and reveals new name

Combined company owned by Synnex shareholders and Apollo Global Management to provide 'best-in-class product offerings', it claims

Tech Data and Synnex finalise $7.2bn merger and reveals new name

Synnex and Tech Data have completed a blockbuster $7.2bn merger which will see the joint company become the industry's largest distributor.

TD SYNNEX, which will be led by Tech Data's Rich Hume as CEO, will have combined revenues of almost $60bn, putting itself in front of rival Ingram Micro.

The merger was first revealed in March and sees Synnex shareholders own 55 per cent of the combined company and private equity firm Apollo Global Management own 45 per cent.

"TD SYNNEX is uniquely positioned in today's relentlessly transforming technology ecosystem," Hume said.

"As a versatile distributor and solutions aggregator for the IT ecosystem, we're strengthening our entire portfolio of solutions and raising the bar on the value we deliver to customers and vendors with exceptional reach, efficiency and expertise.

"It's an honour to lead TD SYNNEX with a talented team of 22,000 co-workers worldwide."

The company says the merger will provide customers and vendors with "unparalleled access to a global distribution platform" by providing "best-in-class product offerings in some of the largest and most profitable product segments".

Former Synnex CEO Dennis Polk will serve as the company's executive chair of the board of directors, with five more members from Synnex and three other Tech Data staff, alongside Hume, making up the rest of the board.

"I am excited to partner with the talented leaders who form the board of TD SYNNEX and look forward to working with them as we bring together our two great companies," Polk said.

"We and our stakeholders will certainly benefit from the collective experience, direction, and deep domain expertise as we move forward as one company.

"We are energised by the enhanced breadth and depth of our offerings and the opportunities ahead of us to deliver superior value to our stakeholders."