DCC PLC DCC Technology to acquire Hammer (5474M)
October 14 2016 - 2:00AM
UK Regulatory
TIDMDCC
RNS Number : 5474M
DCC PLC
14 October 2016
14 October 2016
DCC Technology to acquire Hammer, a specialist distributor of
server and storage solutions
DCC plc, the international sales, marketing, distribution and
business support services group, announces that DCC Technology,
which trades as Exertis, has agreed to acquire Hammer Consolidated
Holdings Limited ("Hammer"), a specialist distributor of server and
storage solutions to resellers in the UK and Continental Europe.
The acquisition is conditional, inter alia, on competition
clearance from the European Commission and is expected to complete
by the end of December 2016.
Based in Basingstoke, Hampshire and employing 165 people, Hammer
distributes server and storage products for a broad range of
leading suppliers including Dell, Intel, NetApp, Seagate and
Western Digital. In addition, it provides product design and build
solutions tailored to the requirements of customers in specific
industries. Hammer sells to value added resellers, cloud service
providers and system integrators from sales offices in the UK,
France, Germany, Sweden, Holland and Belgium. Hammer's business is
complementary to Exertis' existing server and storage business,
significantly strengthening Exertis' supplier portfolio and adding
almost 1,000 reseller customers.
In its financial year ended 31 January 2016, Hammer earned an
operating profit of GBP6.3 million on revenue of GBP155.0 million.
DCC has agreed to acquire 100% of the issued share capital of
Hammer based on an initial enterprise value of GBP38.3 million. The
consideration will be paid entirely in cash and is structured as an
initial payment at completion, followed by earn out payments over
three years based on Hammer's future trading results.
Tommy Breen, Chief Executive of DCC plc, said today:
"The acquisition of Hammer will significantly strengthen the
product and service capability offered by Exertis to its reseller
customers. In addition, Hammer's expertise will better enable us to
take advantage of positive industry trends, including growth in
cloud data centers and demand for big data analytics."
For Reference:
Tommy Breen, Chief Executive
Kevin Lucey, Head of Group Finance and Investor Relations
Telephone: +353 1 2799 400
Email: investorrelations@dcc.ie
Web: www.dcc.ie
About DCC plc
DCC plc is an international sales, marketing, distribution and
business support services group headquartered in Dublin with
operations in Britain, Continental Europe and Ireland. DCC has four
divisions - DCC Energy, DCC Healthcare, DCC Technology and DCC
Environmental. In its last financial year ended 31 March 2016, DCC
generated revenue of GBP10.6 billion and operating profit of GBP300
million and currently employs approximately 10,500 people in 15
countries. DCC's shares are listed on the London Stock Exchange and
are included in the FTSE All-Share Index and the FTSE 100
Index.
About DCC Technology
DCC Technology, which trades as Exertis, is a leading sales,
marketing, distribution and supply chain services business
providing a broad range of consumer and business technology
products and services to retailer and reseller customers, primarily
in the UK, Ireland, France, Sweden, Benelux and the United Arab
Emirates. The business also has operations in Poland, China, USA,
Germany, Spain and Norway.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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