The European operation of Datatec subsidiary, Westcon Group, has acquired 50% of the issued share capital of Turkish company Neteks İletişim "Ur"unleri Dağitim Anonim Şirketi (Netex), for $2.9 million.
The deal is another step in Datatec's overall objective of increasing its exposure to the world's major emerging markets, says Datatec CE Jens Montanana.
The deal is part of a joint venture arrangement with Istanbul Stock Exchange-listed Indeks Bilgisayar Sistemleri M"uhendislik Sanayi Ve Ticaret A.Ş (Index). The remaining 50% interest in Netex continues to be held by Index.
Datatec says Netex is a networking and security distributor whose vendor relationships include Cisco, Nortel, Hewlett-Packard, 3Com and Check Point. It also has logistics capability, along with years of product distribution experience in Turkey. Netex generated $50 million in revenue during its last financial year.
Says Montanana: "As a result of the joint venture, Westcon Group becomes the leading networking and security distributor, carrying Cisco and Nortel products in that region. With a GDP of $358.5 billion and population of over 71 million, we consider Turkey an important emerging market where networking technology will play an increasingly important role."
The consideration for the acquisition will be settled in cash and will be effective from 23 July, says Datatec.
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