Exclusive Group is breaking into the North American market, announcing on Thursday its acquisition of security value-added distributor Fine Tec.
Terms of the deal were not disclosed, but the company said the acquisition brings its combined full year anticipated sales to more than $2 billion. Fine Tec's annual revenues are $230 million.
The acquisition also brings the Exclusive Group, which is a value-added services and technology group focusing on security, to the full global market. The company previously only had a presence in Europe, the Middle East, and APAC.
"This acquisition now gives us a near-complete global footprint," Chief Operating Officer Barrie Desmond said.
Desmond said Exclusive Group has been looking to expand into the North American market for a few years. He said Fine Tec was the right fit for the company's expansion into the market because it had a similar value-based model, some vendor crossover, and was on a similar growth trajectory. Fine Tec specializes in the value-added distribution of network security, data integrity, and storage.
Fine Tec President and CEO James Shen said the acquisition would allow Fine Tec to take its "value over volume" philosophy global. He said the acquisition would allow Fine Tec to continue on its growth trajectory of more than 30 percent sales growth year over year for the past 10 years.
"Staying local is very hard - we were always looking for ways to go global … That's where this match is coming from," Shen said. "I'm very happy to start the next chapter of our journey."
"I think we will do tremendously much better than when we stood alone," he said. "As they say, you can run fast by yourself, but you can't go further. We can go much further now. We will keep our momentum."
The acquisition comes as many other security channel companies are seeing the value of scale and looking to take their business global. The Kudelski Group, a $1 billion global security solution provider, announced in January that it had acquired M&S Technologies to break into the US market. Optiv Security has said it also plans to make acquisitions to expand its global footprint, though it has not made any international acquisitions to date.