Mumbai: Chinese conglomerate HNA Group has competed the acquisition of IT distribution major Ingram Micro. Tianjin Tianhai, a publicly-traded subsidiary of HNA Group, acquired Ingram Micro for USD 38.90 per share in an all-cash transaction with an equity value of approximately USD 6 billion.
“The closing of this transaction represents a significant milestone on Ingram Micro’s path to growing our business and providing a full spectrum of global technology and supply chain services to businesses around the world,” said Alain Monié, CEO of Ingram Micro.
“We are delighted to move forward with this partnership with HNA Group and excited by the opportunity to accelerate the development and delivery of an even stronger value proposition for Ingram Micro’s vendors and customers globally”, he added.
Adam Tan, Vice Chairman and CEO of HNA Group, said, “Following the receipt of all regulatory clearances, we are excited to welcome Ingram Micro to the HNA Group family and we look forward to supporting Ingram Micro’s management team and talented associates as they continue to empower their vendor and customer partners to realize the promise of technology, including building on the company’s unparalleled global logistics and supply chain operations.”
“Today marks a significant step forward in HNA Group’s efforts to create a global, one-stop provider of logistics and supply chain solutions and services,” he added.
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Ingram Micro Chief Financial Officer William Humes and Executive Vice President, Secretary and General Counsel Larry Boyd are slated to leave the company Dec. 16, – 10 days after the close of the mega deal. They join Paul Read, Ingram Micro’s former president and chief operating officer, as executives who have left the $43 billion, Irvine, Calif.-based distributor as the acquisition progressed.
In addition, the members of Ingram Micro’s board of directors will be replaced by Humes; Boyd; HNA President Xiangdong Tan; Bharat Bhise, founder and CEO of Bravia Capital of Hong Kong; Ingram Chairman Dale Laurance; and Jim McGovern, a former Under Secretary of the Air Force.
With the completion of the deal, Ingram Micro will cease trading on the New York Stock Exchange (NYSE). Ingram Micro will remain headquartered in Irvine, California and will continue to be led by CEO Alan Monié.
Although U.S. antitrust officials have grown increasingly wary of Chinese ownership of U.S. technology assets, Ingram Micro and Promark — its public sector-focused subsidiary — do not hold contracts or sell products through its General Services Administration schedule that require a security clearance. Ingram Micro has said that under HNA, it would operate as a standalone entity with little interference.