Avnet is buying MSC Gleichmann, the European component distribution, embedded computing technology and display solutions. The agreement details a two-step approach whereby Avnet will acquire a majority interest in MSC
Group after regulatory approval has been granted with the intent to acquire the remainder of the
company within a short time frame.
MSC revenue was in excess of $450m in the 2012 calendar year, with embedded computer technology (including display
solutions) accounting for almost 50% of its sales.
Harley Feldberg, president of Electronics Marketing Global, commented, “The addition of the MSC Group is a strong fit with our strategy to invest in margin enhancing acquisitions that complement our existing design and supply chain services, while also expanding growth opportunities in the
region. With extensive engineering resources and a strong focus on design-in services, the MSC Group has built a solid reputation as a single source for complete solutions serving customers in the European industrial electronics market. By leveraging the combined skills of both organizations, we will be well positioned to better serve the needs of our customer base in the region.”
Founded in 1979, MSC Group has grown to be a consultative partner to customers in the automotive, industrial automation, telecom, information systems and medical device markets. MSC Group’s logistics and distribution capabilities, along with its competence in board-level assemblies
and system integration allows it to address customers’ demand profile along the electronics value chain. With a team of field application engineers and product specialists, MSC Group provides a range of technical support throughout the entire product development chain from design to finished system. The operations of MSC Group will be integrated into the European business region of Avnet’s Electronics Marketing operating group.
Patrick Zammit, president of Electronics Marketing EMEA, added, “MSC Group’s distribution portfolio is a complementary fit with our core business that improves our offerings in microcontrollers, memory, programmable logic, opto and LED products. The embedded computing and display solutions businesses enhance our competencies in systems level solutions, thereby increasing our value add with customers in these higher growth product segments. We are excited about MSC Group and its talented employees as this represents another step in our business evolution as we progress up the technology value chain and provide additional services that our customers need.”
This transaction, which is subject to customary regulatory approvals, is expected to be immediately accretive to Avnet’s earnings.
MSC franchises include ARM, Renesas, Samsung, NEC, Cree and Micron.
Comments are closed.