CVC Asia Pacific purchases majority Tech Pacific
Tech Pacific announced today that a company established by CVC Asia Pacific Limited has purchased majority equity stake in Tech Pacific Group of companies from Hagemeyer. Hagemeyer retains a 31.5% stake and Tech Pacific management gets ownership of 10% equity. The total consideration for 100% of the shares of the Tech Pacific group is approximately AUD345m.
CVC is an investment firm funded by pension funds and Citigroup. The firm invests into businesses with leadership positions and strong management teams.
Tech Pacific is the leading distributor of IT/Telecom products in several countries in the Asia Pacific with sales of approximately AUD 2.8 billion in 2002. It employs over 1,500 people in across APAC and supplies IT products and services to tens of thousands of resellers of different profiles. It represents over 60 of the largest IT and telecommunications manufacturers in the world.
Andrew Cummins, Managing Director CVC Asia Pacific, said, “Tech Pacific is an attractive investment opportunity for us, with businesses in seven countries across Asia. It will be business as usual for Tech Pacific, its staff, customers and suppliers. There is an excellent executive team in place which will go forward with the business, consolidating its position as the market leader in Asia.”
Graham Pickles, CEO, Hagemeyer Asia Pacific, said, “The divestment of Tech Pacific group is in line with Hagemeyer’s stated objective of focusing on its core electrical businesses. Tech Pacific has been a well performing part of the group and we are pleased that it has found a reputable new parent who is committed to take the successful group to new heights.
Shailendra Gupta, Group CEO, Tech Pacific Group said, “We are excited about the prospects of TP group under new ownership. Management equity participation along with availability of enabling resources will ensure Tech Pacific group’s continued success and we will continue to meet and exceed our vendors’ and customers’ expectations.
Butler, Managing Director, Tech Pacific New Zealand said,
“We are extremely pleased to have CVC as the majority
shareholder in Tech Pacific. CVC has successfully invested
in many companies throughout Asia Pacific and Europe, in
conjunction with the management of those businesses. On a
local level, New Zealand has performed well in the Tech
Pacific Group and we will continue to focus on providing
high levels of customer satisfaction to our vendor and
reseller customers. It is very much business as usual, with
the opportunity for