Tech Data to Buy Avnet’s IT Solutions Group

European TCG Retail Summit´s strategic partner Tech Data Corp. buys Avnet Inc.’s technology solutions group in a deal valued at $2.6 billion to expand into Asia and pursue newer products focused on the cloud and data centers.

Tech Data will pay $2.4 billion in cash plus shares valued at about $200 million.The transaction is expected to close first half of 2017.

Tech Data distributes products from Apple Inc., Microsoft Corp. and more. As rivals have struggled to remain in business with more manufacturers promoting direct relationships with their customers, Tech Data has managed to survive due to its size and reach, as well as expanding its service offerings. The company sells to customers in more than 100 countries, with Europe accounting for the majority of revenue. The deal with Avnet will establish Tech Data’s presence in the Asia-Pacific region.