Exertis forks out £110m for double acquisition

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Kondor will resume operations with its 250 members of staff

Exertis parent firm DCC has made two acquisitions today (July 13). UK mobile accessories distributor Kondor and US-based audio-visual distributor Stampede for a combined £110m.

DCC expects the acquisitions to generate a return on capital of 15 per cent (£16.5m) in the first full year of ownership.Exertis is the technology arm of DCC, both firms will fall in line with Exertis’ operations.

Dorset-based Kondor will resume operations with its 250 staff, as previous financial backer H.I.G Capital vacates for DCC.

Kondor distributes phone cases, bluetooth speakers, headphones and wireless chargers to name a few. It has retail deals with 250 retailers, including: EE, O2, Carphone Warehouse, John Lewis, Amazon, Tesco and Argos. Kondor holds the exclusive right to distribute Samsung accessories in the UK. Kondor generated revenue of £110 million in the year ended 31 December 2017.

Stampede is headquartered in New York and is DCC’s first on US soil. The US firm recorded revenue of $280m (£212m) in the year ended 31 December 2017 and employs approximately 210 people.

Technology distributor Exertis reported £3.08bn in revenue and an operating profit of £47.8m for the year ending March 31, 2018. DCC generated revenue of £14.3 billion and operating profit of £383.4 million for the same year.

‘Strong position to grow’

Kondor CEO Beatrice Lafon said: “This acquisition provides opportunities for both companies to offer an even more competitive range of consumer electronics accessories and services to retailers across a wider geographical footprint as we continue to expand into new territories.”

Exertis managing director Gerry O’Keeffe said: “Kondor has an excellent track record in the retail industry providing a range of services that include: category management; R&D and sourcing; marketing and e-commerce for their vendors and customers. Their penetration into the European and Asian retail market will be a valuable asset as we look to extend our portfolio and presence in these areas.”

DCC chief executive Donal Murphy added: “The acquisition of Stampede significantly strengthens DCC Technology’s position in the attractive and growing Pro AV market and also provides DCC Technology with a platform for growth and development in North America.”

 

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