FOR IMMEDIATE RELEASE
Director of Investor Relations and Public Relations
|SYNNEX Canada Announces a Definitive Agreement to Acquire the Assets of Redmond Group of Companies
Acquisition strengthens the company’s focus on consumer electronics distribution
TORONTO, ON – March 27, 2007 – SYNNEX Canada Limited, a subsidiary of SYNNEX Corporation (NYSE: SNX), announced today it has signed a definitive agreement to acquire substantially all of the assets of Redmond Group of Companies (“RGC”), including AVS Technologies, an independent distributor of consumer electronics.
“The acquisition of RGC will allow SYNNEX Canada to rapidly accelerate its consumer electronics distribution focus,” said Robert Huang, President and Chief Executive Officer of SYNNEX Corporation. “We see consumer electronics as a growth area for SYNNEX and we expect this transaction to enable new opportunities throughout North America for our consumer electronics distribution business. Post restructuring and integration of RGC, we expect this transaction will be accretive to our earnings and capital return metrics.”
The sales to SYNNEX Canada is expected to allow our company and its brands to better compete and succeed in this highly competitive marketplace,” said Andy Redmond, Chief Executive officer of Redmond group of Companies, “The brands acquired in this transaction will benefit from SYNNEX Canada’s enhanced capabilities and scale.”
“This acquisition expands our depth and breadth in the consumer electronics industry and provides SYNNEX Canada access to additional customers and product lines, including such popular lines like Sandisk, Uniden, Cobra, Citizen and Electrohome,” said Jim Estill, Chief Executive Officer of SYNNEX Canada Limited. “We expect the integration of the two organizations to be an efficient transition and we look forward to the employees of RGC joining the SYNNEX family.”
About SYNNEX Canada Limited
SYNNEX Canada Limited, a subsidiary of SYNNEX Corporation (NYSE: SNX), is a leading distributor of technology products to resellers and system builders across Canada. Committed to driving growth and profitability for its resellers and vendor partners, SYNNEX Canada offers great product selection at competitive prices and supports customers with dedicated sales resources, unique financial services, expert technical support, progressive e-business tools and fast and accurate delivery with warehouses in key cities. For more information, visit http://www.synnex.ca
Founded in 1980, SYNNEX Corporation is a global IT supply chain services company offering a comprehensive range of services to original equipment manufacturers, software publishers and reseller customers worldwide. SYNNEX offers product distribution, related logistics services, business process outsourcing and contract assembly and works with the leading industry suppliers of IT systems, peripherals, system components, software and networking equipment. Additional information about SYNNEX may be found online at www.synnex.com.