immixGroup to be bought by Arrow Electronics
- By Mark Hoover
- Mar 02, 2015
Arrow Electronics has reached an agreement to acquire immixGroup Inc. in a move that expands its presence in the federal market.
Financial terms of the deal were not disclosed.
Arrow, a provider of products, services and solutions to industrial and commercial users of electronic components and enterprise computing solutions, is making a big play to get into the public sector IT market with this acquisition.
According to USAspending.gov, the company had $20.8 million in federal sales in fiscal 2014, compared to immixGroup’s $418.3 million.
For immixGroup – a value-added distributor that offers IT solutions from over 250 technology suppliers in addition to other services like market research – this transaction represents an opportunity to continue expanding its value proposition by aligning with a company ranked at No. 138 on the Fortune 500. Arrow will bring financial strength and a commitment to value-added distribution, said immix vice president of marketing, Allan Rubin.
In an email that was sent to clients and partners, immixGroup said that it had been looking for months to raise outside investment capital to fuel its continued growth and expand its capabilities.
After the acquisition closes in second quarter fiscal 2015, the company will operate as a wholly-owned subsidiary of Arrow Electronics, retaining its focus on the government market, the company said in the email.
While Arrow has a small federal presence, the company overall is huge with 2014 sales of $22.8 billion. It is headquartered in Centennial, Colo. and serves as a supply channel partner for more than 100,000 priginal equipment manufacturers, contract manufacturers and commercial customers. It has a global network of 460 locations in 56 countries.
Mark Hoover is a senior staff writer with Washington Technology. You can contact him at email@example.com, or connect with him on Twitter at @mhooverWT.