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SYNNEX to acquire large chunks of Westcon-Comstor

American distributor SYNNEX Corporation and South African group Datatec have unveiled a definitive agreement in which SYNNEX will acquire Datatec's Westcon-Comstor Americas business and become a minority shareholder in Datatec's Westcon EMEA and APAC businesses. "We believe this is a unique opportunity that is transformational to SYNNEX and is aligned to our strategy of positioning the business to where technology is growing. Westcon-Comstor is a recognized leader in the security, UCC and networking space", stated Kevin Murai, President and CEO of SYNNEX Corp. "The Westcon-Comstor brand has been built over time by a very deep and talented team and we are excited to welcome the Americas team to our family."

Jens Montanana, CEO of Datatec, stated: "I'm proud of our team and the business they have built over the past thirty years. The SYNNEX culture is similar to Westcon-Comstor and I'm excited about the opportunity to grow our businesses together on a global scale. We share a common vision and strategic objective in addressing the global complexities and emerging demands facing our partners."

Here are the transaction details and the impact of the acquisition to Consolidated SYNNEX Corporation Financials:

  • €460M in stock and €90M in cash at closing
  • Up to €185M earn out if certain financial targets are achieved through Feb 2018 - which will allow Datatec to own about 10% of SYNNEX
  • €27.7M for 10% ownership of Datatec's Westcon EMEA and APAC businesses (with an option to double that ownership, although no details have been unveiled on how and when). Synnex also gets first refusal on making an offer to acquire it in its entirety if Datatec ever looks to sell the remainder of the business in the future, out of which Datatec wishes to get better value in the future, once the (difficult as usually) SAP implementation in the region is achieved.
  • Approximately €106 million of net debt will be assumed and refinanced with the close of the transaction
  • Option to pay all cash, based on the average share price at closing
  • If stock is issued, the SNX Board of Directors will appoint Jens Montanana to the SYNNEX Board of Directors, subject to compliance with legal and regulatory requirements

"We are pleased to welcome a long-term shareholder like Datatec Ltd. The ownership structure serves us well as it aligns our collective long-term goals", stated Kevin Murai, President and CEO of SYNNEX Corp. "The composition of this transformative acquisition enables SYNNEX to further invest in long-term strategies to grow and diversify our business. Mr. Montanana brings to our board deep practical knowledge in doing business beyond North America."

For its fiscal year end ended February 28, 2017, the Westcon Americas business generated approximately €2B of revenue and approximately €82m in EBITDA. In the first 12 months after close, the Westcon Americas business, excluding integration costs, transaction expenses and intangible amortization, is expected to be mildly accretive to SYNNEX Non-GAAP EPS and then accelerate in year two. The transaction is expected to close in the third calendar quarter of 2017, subject to the satisfaction of regulatory requirements and customary closing conditions. Until the transaction is completed, the companies will continue to operate independently.

Westcon-Comstor appoints CEO

South Africa: VAD Westcon-Comstor has appointed Rakesh Parbhoo as CEO. Parbhoo will replace Guy Whitcroft, who held a 12-month contract to fulfil the role of interim CEO of the company for the last year. "We are pleased to welcome Rakesh to the ranks of WestconGroup in the region and believe his extensive knowledge of the changing face of IT within the African landscape will prove to be an asset to the company", states Jeremy Butt, EVP for EMEA at Westcon-Comstor. "Furthermore, we would like to thank Guy Whitcroft, who stepped into the role of interim CEO at short notice just on a year ago. Guy has made a truly positive contribution to the business and has helped us plot our growth trajectory in the region during his tenure at the southern African office."

Parbhoo is currently the Chief Information Officer for Dimension Data Middle East & Africa. In this role, he is responsible for Dimension Data MEA's information systems strategy to support its business objectives and goals. Originally joining Dimension Data in 1998 as a product manager, Rakesh has subsequently held a number of positions in sales and services management. In 2006, he was appointed Managing Director for Dimension Data East Africa following the purchase of an existing business. He transformed the business into one of East Africa's leading IT services companies. Subsequent to this he was appointed as the Executive for Emerging Markets, responsible for Dimension Data's operations outside of South Africa, across Middle East & Africa. Parbhoo graduated with a BCom degree majoring in insurance, risk management and information systems from the University of the Witwatersrand, South Africa, in 1997. He subsequently completed a Management Development Programme through Manchester Business School, and was selected for the Global Leadership Development Programme through the Gordon Institute of Business Science. "Rakesh will be tasked with leading the local executive team while exploring new opportunities within the southern African distribution landscape. In addition, we believe his knowledge of the market, his passion for technology and services, will help us to continue to transform the face of distribution within the region", ends Butt.

Westcon-Comstor offers resellers Azure on its BlueSky platform

South Africa: network and telecom VAD Westcon-Comstor Southern Africa is enabling local reseller partners the opportunity to purchase Azure from its BlueSky digital aggregation platform. The announcement allows local resellers to purchase core components of the Azure platform locally, and digitally, all via its automated aggregation system BlueSky. As a tier-two member of the Microsoft Cloud Service Provider (CSP) programme, the Westcon-Comstor Cloud Solutions team is uniquely geared to provide customers with support and services around all of the vendor's cloud solutions as well as Azure. "Customers throughout the continent have been calling for access to the Azure suite of solutions, but have been reticent to follow a direct route of acquiring it, as they have feared that local or in-country support and technical skills wouldn't be available should they require them", states Leane Hannigan, Cloud Solutions Director at Westcon-Comstor Southern Africa. "By offering partners Azure as a solution through our BlueSky platform, they can now better build customer-centric IT environments that support their end-user customers' desire to embrace digital transformation in what is fast becoming a cloud- and mobile-first world."

Leading with key components of the Azure stack, the local team will provide partners with access to its backup, identity management and storage capabilities. Notably, as a result of its integration with BlueSky, the Westcon-Comstor team will be able to couple a host of value-added services for customers. BlueSky will alert the reseller on a user's usage and consumption of their Azure, and for that matter, all their Microsoft cloud solutions, and then create a recommendation on future use, by week, month and even year. BlueSky offers partners access to a digital aggregation solution from which they can acquire both cloud-based solutions and services, quickly and easily. Its enhanced analytics capabilities also allow resellers to not only monitor consumption as mentioned previously, but also analyse this consumption and provide the reseller with suggestions on what a client may require based on qualified information. This provides a critical link for pre- and post-sales professionals to their customers, enabling them to scale user requirements up or down at a moment's notice, while unlocking additional business opportunities for customers. "A key benefit for our partners acquiring Azure through BlueSky is that they continue to own the customer relationship. They are also able to ensure that the customer has access to the technical and support skills they may require in ensuring the successful deployment of Azure. Furthermore, they can white-label the solution for customers, as well as white-label Westcon-Comstor-based technical and support services, to ensure the end-user customer is provided a single point of contact and a single identity for all things Azure and Microsoft in their business", adds Hannigan.

A new name for Imago SA and more training for Westcon

South Africa: AV VAD Imago South Africa is launching a new corporate identity and name-change to underline its independent status and commitment to its market. Its new name – SkyGroup Communications – and positioning statement "Completely Connected" – is a signal to customers that sustained growth is on the horizon, said Johannesburg-based sales & marketing director, Dirk Schreuder. The new identity also underscores the business's separation from the international Imago Group, who was acquired separately by Scansource. All equity in the South African business is now held by local managers and a UK-based investor.

In order to help local Avaya resellers bridge the skills gap in Southern Africa, infrastructure VAD Westcon-Comstor has been appointed as an authorised training partner for Avaya. According to Westcon-Comstor, resellers will with immediate effect be able to conduct all their Avaya training needs through the distributor's learning academy. The Westcon-Comstor Academy provides knowledge and skills to resellers and system integrators through certified and bespoke training courses across major technology vendors throughout Europe, Middle East and Africa. Heinz Stephan, Services Solutions director, Southern Africa at Westcon-Comstor, says: "The extension of our training portfolio to include Avaya will enable resellers to tap into industry recognised tuition that is of a global standard and that is also internationally recognised." (source: ITweb South Africa).

Kolok stores on Sandisk

Africa: flash vendor SanDisk has appointed supply specialist Kolok as its third official distributor, covering South Africa and neighbouring countries Botswana, Lesotho, Mozambique, Namibia and Zimbabwe. Through the SanDisk partnership, the distributor will be introducing a new range of storage data transfer products to the market. Tareq Husseini, Middle East and Africa sales director at SanDisk, says the new alliance is an essential move for both companies in a region with a growing penetration of mobile phones and increasing appetite for memory cards: "Kolok has 50 years' distribution experience and expertise in South Africa, and its name is synonymous with trust and transparency. This means we are being provided with a great service, and our retailers and customers are being provided with a range of SanDisk products. Kolok also expands our reach in South Africa with regards to stationery channels, which is one of their strongest and most solid markets," says Husseini (source: IT Online South Africa).

Recent additions

Our directory is updated daily through information sent by vendors and distributors. Here are the latest updates :
SC Magazin GSM srl
Romania - Specialist
Multipoint Nordics OÜ
Estonia - VAD
EMA Distribution srl
Italy - Specialist
Westnet Distribution Poland Sp. z o.o.
Poland - Broadliner
A&C Systems France
France - Specialist
FieldTrust bvba/sprl
Belgium - VAD
Aqipa United Kingdom Ltd
United Kingdom - Specialist
Fokus MSP GmbH iG
Germany - VAD
Zaltor Soluciones Informáticas SLU
Spain - Specialist
ICOS Deutschland GmbH
Germany - VAD


Westcon Africa Southern Africa (Pty) Ltd

Westcon Africa Southern Africa (Pty) Ltd
1 Tugela Lane - Westcon Building
Waterfall Logistics Precinct - Waterfall Logistics Precinct - Jukskei View
ZA-2090 Johannesburg
South Africa
Phone : +27-118489000
Website : http://za.westcon.com

Other offices
Cape Town
Phone : +27-214053700
Phone : +27-315124000
Port Elizabeth
Phone : +27-413607068


CEO : Mr Rakesh Parbhoo
Chairman of the Executive Board : Mr Tom Dolan
General manager : Mr Kristian Tierney
Deputy Executive Officer : Mrs Elmien Du Toit
CFO : Mr Ivan Dittrich
CFO : Mrs Sandra van Eeden
Sales director : Mr Uwe Brandkamp
Marketing director : Mrs Michelle Chettoa
Division director or manager : Mr Hanle Carver
Division director or manager : Mr Heinz Stephan
Division director or manager : Mrs Nadine Barnard
Channel manager : Mrs Lee-Anne Combrink
Market manager : Mr Pieter Terblanche
Market manager : Mr Erasmus Denan
Market manager : Mrs Fozia Martin
Market manager : Mrs Yonika Murugan
Market manager : Mrs Lindsey Chiinze
Market manager : Mrs Vadele Geel
Product manager : Mr Mandre Stander
Corporate account manager : Mrs Laura Provvedi


Creation year : 1995
Company registration number : 2007/012519/07
VAT number : ZA 4700151758
Indirect turnover : 100%
Export : Botswana, ESwatini, Lesotho, Madagascar, Malawi, Zimbabwe
VAD : Computers and peripherals, networks and telecoms, storage
Main brands : Cisco, Fujitsu Technology Solutions, HPE, MicroFocus (Novell), Veritas Technologies
Clients : Assemblers, broadline e-commerce, broadliner, buying groups, consumer electronics, dealers, department stores, hypermarkets, independent retailers, IT consulting, system integrators and VARs, marketplaces, service providers, specialist, specialized and corporate resellers, telecom operators, trader


Recent additions

Our directory is updated daily through information sent by vendors and distributors. Here are the latest updates :
SC Magazin GSM srl -  Romania - Specialist
Multipoint Nordics OÜ -  Estonia - VAD
EMA Distribution srl -  Italy - Specialist
Westnet Distribution Poland Sp. z o.o. -  Poland - Broadliner
A&C Systems France -  France - Specialist
FieldTrust bvba/sprl -  Belgium - VAD
Aqipa United Kingdom Ltd -  United Kingdom - Specialist
Fokus MSP GmbH iG -  Germany - VAD
Zaltor Soluciones Informáticas SLU -  Spain - Specialist
ICOS Deutschland GmbH -  Germany - VAD

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