Establishes Value Added IT Solutions Business in India
Avnet, Inc. (NYSE:AVT) today announced it has completed its acquisition
of Ontrack Solutions Pvt. Ltd. (Ontrack) of India. A Mumbai-based
systems integrator established in 1993, Ontrack is known in the market
as a leader in security, networking, consolidation, virtualization,
storage and server solutions. Ontrack will become part of the operations
of Avnet Technology Solutions Asia Pacific. The transaction is expected
to be slightly accretive to earnings immediately, excluding minimal
integration charges, and supports Avnet’s
return on capital goals.
John Paget, global president of Avnet Technology Solutions commented, “This
acquisition gives us a solid starting point to build our business in one
of the fastest growing IT markets in Asia. The current owners, G.
Balakrishnan and Naresh Desai, will lead the local Avnet Technology
Solutions team as we continue to invest in profitable growth. We will
leverage the skills and multi location footprint of Ontrack to build a
leading value-added solutions distribution business throughout India.”
Ontrack markets a portfolio of IT solutions from leading suppliers
including IBM and HP, as well as software solutions from VMware, Citrix,
DoubleTake, CheckPoint, Nokia, Websense, and RSA. For the fiscal year
ended March 31, 2008, Ontrack’s services
revenue was approximately US$13 million.
KP Tang, president of Avnet Technology Solutions Asia Pacific, added, “The
acquisition of Ontrack supports our strategy to expand our value-added
IT distribution model into new high growth geographies in the Asia
Pacific region. The combination of Ontrack’s
focus on technical value-added services and Avnet’s
scale and scope as a global distributor will enhance our value
proposition in the important India IT market while accelerating our
growth in the region.”
Forward-looking statements
This press release includes certain forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as amended and
Section 21E of the Securities Exchange Act of 1934, as amended. These
statements relate to future business and/or financial success or the
business outlook and represent the Company's judgment as of the date of
this release. Risk and uncertainties that may materially affect the
actual results are described from time to time in Avnet's SEC filings,
including the Company's reports on Form 10-K, Form 10-Q and Current
Reports on 8-K.
About Avnet
Avnet, Inc. (NYSE:AVT) is one of the largest distributors of electronic
components, computer products and technology services and solutions with
more than 300 locations serving more than 70 countries worldwide. The
company markets, distributes and optimizes the supply-chain and provides
design-chain services for the products of the world's leading electronic
component suppliers, enterprise computer manufacturers and embedded
subsystem providers. Avnet brings a breadth and depth of capabilities,
such as maximizing inventory efficiency, managing logistics, assembling
products and providing engineering design assistance for its 100,000
customers, accelerating their growth through cost-effective, value-added
services and solutions. For the fiscal year ended June 30, 2007, Avnet
generated revenue of $15.68 billion.
For more information, visit www.avnet.com.
(AVT_IR)
Media Contact - Avnet Technology
Solutions, Asia:
Michael Costigan
Director,
Marketing
T. +612 8877 0751
M. +614 0865 1467
michael.costigan@avnet.com
or
Media
Contact - Avnet, Inc.:
Michelle Gorel
Vice
President, Public Relations
(480) 643-7653
michelle.gorel@avnet.com
or
Investor
Relations Contact:
Vincent Keenan
Vice
President, Investor Relations
(480) 643-7053
vincent.keenan@avnet.com
