Channel programs News
The 10 Biggest Tech M&A Deals Of 2021
From CDW’s $2.5 billion purchase of Sirius Computer Solutions and the merger of distributors Tech Data and Synnex to create an IT distribution powerhouse, here’s a look at the biggest tech corporate mergers and acquisitions that reshaped the IT industry and the channel in 2021.
1. Synnex, Tech Data Merger Creates $60B Distribution Titan
On Sept. 1, Tech Data and Synnex completed their $7.2 billion merger, creating the world’s largest IT distributor under the new name TD Synnex with annual sales of nearly $60 billion, 1,500 vendors on its line card, 150,000 customers and 22,000 employees.
The merger agreement was originally disclosed in March and Synnex shareholders approved the deal in June. (Tech Data was itself acquired by private equity firm Apollo Global Management in June 2020 for about $6 billion.)
Rich Hume, previously Tech Data CEO, leads the new company while Synnex President and CEO Dennis Polk is executive chairman of the company’s board.
With the merger, TD Synnex becomes the new IT distribution superpower, surpassing in revenue distributor Ingram Micro, which has held the top distributor spot for three decades.
TD Synnex brings an expanded global distribution network and extensive OEM relationships to channel partners looking to not only procure the latest IT hardware, software and services, but also complete solutions for on-premises, public cloud and hybrid cloud deployments. The distributor also now expects to have more resources to scale investments in developing new solutions and provide more financing for channel partners.
TD Synnex has already begun making changes including bringing its TechSelect, Varnex and Stellr solution provider communities under an umbrella organization called CommunitySolv. On the personnel side the company has named channel veteran Sammy Kinlaw as senior vice president of sales communities for North America. And Bob Stegner, who as Synnex senior vice president of North America marketing led the Varnex community, has been promoted to senior vice president of marketing for TD Synnex North America.