IT Pro is supported by its audience. When you purchase through links on our site, we may earn an affiliate commission. Learn more

Tech Data and Synnex agree to $7.2 billion merger

Following the merger, Apollo Funds will receive 44 million shares of Synnex common stock

Synnex homepage on a smartphone

Synnex Corporation and Tech Data have signed a definitive merger agreement valued at approximately $7.2 billion, including net debt. 

Following the merger, Synexx and Tech Data, with approximately “$57 billion in estimated pro forma annual revenues and a team of over 22,000 associates and colleagues,” will be better positioned to accelerate technology adoption. 

The transaction, which is expected to close in the second half of the current financial year, also combines each company's core growth platforms and end-to-end solutions to create best-in-class product offerings pertaining to the cloud, data centers, security, Internet of Things (IoT), services, 5G, and the intelligent edge. 

Additionally, the combined company will expand its global footprint to serve over 100 countries across the Americas, Europe, and Asia-Pacific regions with a diversified portfolio of over 200,000 products and solutions.

“This is transformational for Tech Data, Synexx and the entire technology ecosystem. Together, we will be able to offer our customers and vendors exceptional reach, efficiency, and expertise, redefining the experience and value they receive," said Rich Hume, Tech Data CEO. 

"The combined company will also benefit from significant financial strength to invest in its core growth platform as well as next generation cybersecurity, cloud, data, and IoT technologies, which are experiencing explosive growth due to work from home and return to office trends.”

Apollo Global Management, which wholly owns and manages Tech Data through its funds, will also enjoy certain merger benefits. 

As per the agreement, Apollo Funds will receive an “aggregate of 44 million shares of Synexx common stock plus the refinancing of existing Tech Data net debt and redeemable preferred shares of approximately $2.7 billion.”

MiTAC Holdings Corporation and its affiliates, which collectively own approximately 17% of Synnex shares, have also agreed to vote their shares in favor of the Synnex-Tech Data merger.

Featured Resources

Meeting the future of education with confidence

How the switch to digital learning has created an opportunity to meet the needs of every student, always

Free Download

The Total Economic Impact™ of IBM Cloud Pak® for Watson AIOps with Instana

Cost savings and business benefits

Free Download

The business value of the transformative mainframe

Modernising on the mainframe

Free Download

Technology reimagined

Why PCaaS is perfect for modern schools

Free Download

Recommended

Extending APM into observability
Whitepaper

Extending APM into observability

1 Apr 2022
Best presentation software 2022
Software

Best presentation software 2022

25 Mar 2022
Tactics to overcome supply chain shocks and risks
Whitepaper

Tactics to overcome supply chain shocks and risks

19 Nov 2021
Nitro acquires European e-sign SaaS provider Connective
Acquisition

Nitro acquires European e-sign SaaS provider Connective

10 Nov 2021

Most Popular

How to boot Windows 11 in Safe Mode
Microsoft Windows

How to boot Windows 11 in Safe Mode

7 Jun 2022
Delivery firm Yodel disrupted by cyber attack
cyber attacks

Delivery firm Yodel disrupted by cyber attack

21 Jun 2022
Salaries for the least popular programming languages surge as much as 44%
Development

Salaries for the least popular programming languages surge as much as 44%

23 Jun 2022