SYNNEX Buys Minacs Group Pte Ltd for $420 Million

SYNNEX Corporation SNX, and Minacs revealed that they struck a definitive agreement enabling SYNNEX to acquire the later for about $420 million. The company will integrate Minacs with its Concentrix business segment. SYNNEX said that this transaction was planned to strengthen domain expertise in Concentrix' automotive industry vertical, as well as, fasten Marketing Optimization and IoT solutions with Minacs' proprietary technology. The company added that the transaction provided Concentrix more scale and reach to serve its client base further. The deal would also allow Concentrix to strengthen its competitive advantages in the marketplace. The company's CEO and President, Kevin Murai, said, "We believe this acquisition will enhance Concentrix' position as global leader in business services. This strategic investment is expected to create even greater scale and a more compelling value proposition for our clients and shareholders. This transaction is also in line with our stated goals of margin expansion and diversification of our revenue." SYNNEX said that it expects the transaction to close in late third quarter, subject to the satisfaction of regulatory requirements and customary closing conditions. The company indicated that the companies would continue to operate independently until the transaction is completed. Concentrix President, Chris Caldwell, said, "Minacs has been able to establish itself as a high value unique player in Business Services. Their investments in IoT and Marketing Optimization stand out as solutions with growing market demand, which we believe we will be able to leverage across our combined client base. This acquisition is intended to increase our speed to market of these solutions and provide us new opportunities for expansion." Shares were traded 2.09 percent higher on Monday.