SANTA ANA, Calif., Nov. 29, 2012 /PRNewswire/ -- Ingram Micro Inc. (NYSE: IM), the world's largest technology distributor and a global leader in IT supply-chain, mobile device lifecycle services and logistics solutions, today announced it will acquire Promark Technology, a value added distributor (VAD) with a core technology focus on data storage, data management and electronic document imaging products and services. Based in Annapolis Junction, Md., Promark also provides various federal and state contract vehicles, including a General Services Administration (GSA) schedule, which allows its authorized vendors and technology resellers to sell to the U.S. public sector market. Promark's revenues are estimated to be $100 million for the year ending December 31, 2012. Promark will retain its name and operate as a subsidiary of Ingram Micro.
The acquisition is scheduled to close Nov. 30, 2012 and is subject to customary closing conditions. Dale Foster, current CEO of Promark Technology, will continue to lead the company following the acquisition as executive director and general manager, reporting to Scott Zahl, vice president and general manager of Ingram Micro's Advanced Computing Division in the U.S. Further details of the transaction were not disclosed.
"The acquisition of Promark is another step forward in our strategy to strengthen Ingram Micro's position in higher value products and solutions, as well as extend our leadership and reach within the public sector," said Alain Monié, president and chief executive officer, Ingram Micro Inc.
"The acquisition of Promark gives us a deeper reach into the enterprise storage market while providing new federal, state and other U.S. government revenue opportunities for our partners through the GSA schedule," explains Paul Bay, acting president, Ingram Micro North America. "Together, we will drive revenue synergies by cross-selling Ingram Micro's current storage solutions to Promark's customers and offering our channel partners access to Promark's specialized product portfolio and established government contracts."
"Being part of Ingram Micro provides Promark customers, vendor partners and associates with a vast array of business opportunities that were previously unavailable," said Foster. "We are excited to become a strategic part of the industry's global leader in IT supply-chain, mobile device lifecycle services and logistics solutions and see significant benefit in offering a wider range of information technology products to our customer base. Promark has been in business more than 20 years and remains focused on growth, customer service and offering a great working environment for our associates. We look forward to continuing to build upon this legacy as a part of Ingram Micro."
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Cautionary Statement for the Purpose of the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995
The matters in this press release that are forward-looking statements are based on current management expectations. Certain risks may cause such expectations to not be achieved and, in turn, may have a material adverse effect on Ingram Micro's business, financial condition and results of operations. Ingram Micro disclaims any duty to update any forward-looking statements.
All statements other than statements of historical fact are statements that could be deemed forward-looking statements.
Important risk factors that could cause actual results to differ materially from those discussed in the forward-looking statements include, without limitation: Promark's business may not perform as expected due to transaction-related uncertainty or other factors; the ability of Promark and Ingram Micro to retain relationships with customers, vendors and other partners; management's ability to execute its plans, strategies and objectives for future operations, including the execution of integration plans; growth of the data storage, data management and electronic document imaging products and services industry; our ability to maintain access to adequate levels of capital at reasonable rates; and our ability to achieve the expected benefits and manage the expected costs of the transaction.
For a further discussion of significant factors to consider in connection with forward-looking statements concerning Ingram Micro, reference is made to Item 1A Risk Factors of Ingram Micro's Annual Report on Form 10-K for the fiscal year ended December 31, 2011 and Item 1A Risk Factors of Ingram Micro's Quarterly Report on Form 10-Q for the fiscal quarter ended September 29, 2012; other risks or uncertainties that may be detailed from time to time in Ingram Micro's future SEC filings.
About Promark Promark Technology is one of the premier value added distributors (VAD) in the United States. Promark's core technology focus is distributing data storage and electronic document imaging products and solutions through a two-tier distribution channel selling to value added resellers (VARs) and system integrators. Promark leverages its direct relationships with world class technology partners including: Dell – Compellent, Dot Hill, QLogic, Overland Storage, ExaGrid, Nexsan, FalconStor, Enterasys, Panasonic, Fujitsu and many more to provide solutions that meet the most demanding needs of their customers. Promark's Professional Services Division provides VARs the opportunity to offer its clients installation, implementation and support services for many of our vendors. Promark offers a channel- friendly model with a solid margin proposition for organizations to make money for service opportunities. Promark offers professional services in application integration, backup and recovery, network optimization, storage implementations and disaster recovery solutions. Promark also provides various federal and state contract vehicles, including the GSA schedule for which its channel partners can leverage to sell to the government.
About Ingram Micro Ingram Micro is the world's largest wholesale technology distributor and a global leader in IT supply-chain, mobile device lifecycle services and logistics solutions. As a vital link in the technology value chain, Ingram Micro creates sales and profitability opportunities for vendors and resellers through unique marketing programs, outsourced logistics and mobile solutions, technical support, financial services and product aggregation and distribution. The company is the only global broad-based IT distributor, serving 145 countries on six continents with the world's most comprehensive portfolio of IT products and services. Visit www.ingrammicro.com.
SOURCE Ingram Micro Inc.