Avnet buying Memec
18 May 2005
News
Avnet is buying Memec for approximately $676m in a stock and cash transaction, including the assumption of around $194m of Memec's net debt.
Memec, a leading global distributor specialising in semiconductors, generated approximately $2,3 bn revenue in 2004. In the same period it generated operating income of $63m. The privately-held company, which employs 2400 people, provides customers with engineering expertise and design services covering a portfolio of semiconductor devices from industry leading suppliers.
Memec will be integrated into Avnet and its Electronics Marketing Group. After the acquisition, Avnet's Electronics Marketing Group will have operations in 69 countries and anticipated annual sales of over $8,5 bn, according to the company.
Commented Avnet's chairman and CEO, Roy Vallee, "We are excited about the opportunity to significantly expand our presence in each of our existing three regions as well as gain entry into the important Japan market. Memec is a well-established semiconductor distributor with valuable franchises, strong technical capabilities and many talented people. In addition to delivering more value to both companies' customers and suppliers, the combination creates significant value for Avnet shareholders."
Memec, with operations in 33 countries and 130 cities, is the largest semiconductor distributor focused primarily on design chain services. In calendar year 2004, Memec grew total revenue approximately 27%, with the Americas accounting for 44% of Memec's 2004 revenue followed by the Asia region, including Japan, at 31% and Europe, Middle East and Africa at 25%.
Said David Ashworth, Memec's president and CEO, "Given the increased demands of global technology markets, we have been exploring a number of strategic alternatives and combining with Avnet provides the best future for Memec."
"The acquisition of Memec strongly enhances our global design chain capabilities while reinforcing our critical role in supply chain services," stated Harley Feldberg, president of Avnet Electronics Marketing. "With an expanded franchised supplier line-card, coupled with a portfolio of world-class design chain and supply-chain services, we are confident that we will further strengthen our relationships with customers and suppliers."
Further reading:
From the editor's desk: Inspiring the next generation
Technews Publishing
News
Welcome to the August issue of
Dataweek. Peter Howells is still on leave, so I am back for this issue. I hope you enjoy the content and find value in it.
August is Women’s Month in South Africa,
...
Read more...
Procurement is becoming a competitive advantage
RS South Africa
News
As mining, manufacturing and industrial businesses continue to navigate rising costs, supply chain disruption and increasing pressure to improve operational performance, procurement and inventory management have become strategic business priorities rather than simply administrative functions.
Read more...
Powell Electronics signs partnership agreement with IOT Electronics
IOT Electronics
News
Powell Electronics has entered into a partnership agreement with IOT Electronics to strengthen its presence across southern Africa.
Read more...
Omniflex delivers ICCP systems across London
Omniflex Remote Monitoring Specialists
News
Omniflex has supplied impressed current cathodic protection (ICCP) systems for a range of prominent buildings across London, helping to protect reinforced concrete structures from corrosion and extending their service life.
Read more...
New appointments for Würth Electronics South Africa
Würth Electronics South Africa
News
New appointments for Würth Electronics South Africa
Read more...
MTN celebrates 80 Western Cape digital graduates
News
Eighty unemployed young people from across the Western Cape have successfully completed MTN South Africa’s Digital Skills for Digital Jobs (DS4DJ) programme, earning accredited qualifications in Data Analytics, Systems Development and Cybersecurity.
Read more...
GirlCode Hackathon 2026 kicks off across South Africa and Botswana
News
GirlCode, in partnership with Absa Group, Truecaller, MTN, SAP Fioneer, RS South Africa and other ecosystem partners, successfully hosted the first leg of the 2026 GirlCode Hackathon.
Read more...
Rooibos heads to space
News
A South African scientific initiative linking agriculture and space research has officially launched today with the Rooibos in Space programme at Parklands College’s Innovation Centre in Cape Town.
Read more...
From the editor's desk: Local can be international
Technews Publishing
Editor's Choice News
Welcome to the July 2026 issue of
Dataweek. As you can see from this introduction,
Dataweek’s regular editor, Peter Howells, is on extended leave and I am filling the void in his editor’s column – hopefully without being too boring.
Read more...
Landis+Gyr EMEA introduces new company name: EYKON
News
EYKON is the new company name of Landis+Gyr EMEA, formerly part of the Landis+Gyr Group. The company supports electricity, gas, water and thermal utilities in managing increasingly complex networks, improving operational efficiency and enabling more sustainable use of resources.
Read more...
printer friendly version