Tech Data's buyout of Inflow Technologies isn't going to happen. The reason: Inflow -- a value-added distributor of IT infrastructure -- has exercised its right to withdraw from the deal, Tech Data disclosed this morning.Inflow paid a breakup fee in order to abandon the Tech Data deal, which was originally disclosed in December 2019. Inflow did not disclose why it walked away from the business combination with the Tampa, Florida-based distributor. We're poking around to see if Inflow has received alternative, more lucrative bids for its business.In a prepared statement, Jaideep Malhotra, president, Asia Pacific, at Tech Data, said:Ingram Micro acquiring Ictivity in Europe; Amber Technology acquiring Hills AV; and Wesco acquiring Anixter in a bidding war against private equity suitors. Meanwhile, Apollo Global Management is in the process of acquiring Tech Data. The pending Apollo-Tech Data deal is expected to be completed in the first half of 2020. Also, Tech Data rival Ingram Micro has been the subject of acquisition rumors, though such speculation has quieted down in recent months.
“We respect Inflow’s decision to go in a different direction. Tech Data is committed to our strategy of delivering higher value by strengthening our end-to-end portfolio and optimizing our global footprint, and we continue to explore opportunities to grow our business in alignment with this strategy.”
