Tech Data announces an "amendment" to the acquisition deal with Apollo Funds-- the asking price is now worth $6 billion, following the making of a late bid by an unnamed potential buyer.
The previous acquisition deal, announced last month, put the value of Tech Data at $130 per share, or approximately $5.4bn. Now the worth of Tech Data is at $145 per share in cash. As part of the deal agreement, Tech Data says it will also continue to solicit alternative acquisition proposals from 3rd parties during a "go-shop" period until 9 December.
In further Tech Data news, the distributor reports a "solid" fiscal Q3 2020, even if global sales are down by -2% Y-o-Y to $9.12 billion. European sales see a further decline of -6% Y-o-Y to $4.6bn, and overall global profits for the quarter total $310 million.
“We delivered solid Q3 results while continuing to execute on our strategy and portfolio optimisation actions,” CEO Rich Hume says. “In Q3, we also announced our intention to acquire DLT Solutions, a premier software and cloud solutions aggregator focused on the US public sector. This acquisition reflects our strategy of delivering higher value-- strengthening our end-to-end portfolio and accelerating our capabilities in next-generation technologies.”
