2010-08-05 14:45:05 -
Arrow Electronics, Inc. (NYSE:ARW) today announced that it has agreed to acquire Shared Technologies Inc. (“Shared”), a leading North American unified communications and managed services provider.
Shared sells, installs, and maintains communications solutions, including the latest in unified communications, voice and data technologies, contact center, network security, and traditional telephony. Shared is a leading player in the high-margin, faster growing unified communications market, which represents a total addressable market of more than $60 billion. The company’s products and services reach a number of end markets including corporate, government and healthcare. The company will report through Arrow’s Enterprise Computing Solutions’ North American business.
“This acquisition builds on our strategy to diversify into faster growing, high-margin markets that are complementary to our existing businesses,”
said Andy Bryant, president of Arrow ECS. “Shared represents an exciting opportunity as we add a leading player in the unified communications, telephony, and managed services industries to our product portfolio. They bring deep customer and supplier relationships as well as extensive industry and technical expertise.”
Shared is based in Coppell, Texas, and has approximately 1,000 employees. Total sales in 2009 were approximately $250 million. The acquisition is expected to be $.10-$.12 per share accretive to earnings in the first full year of operations. The transaction is subject to customary regulatory approval and is expected to close by the end of September.
Arrow Electronics ( www.arrow.com :
) is a global provider of products, services and solutions to industrial and commercial users of electronic components and enterprise computing solutions. Headquartered in Melville, N.Y., Arrow serves as a supply channel partner for over 900 suppliers and 125,000 original equipment manufacturers, contract manufacturers and commercial customers through a global network of more than 310 locations in 51 countries and territories.
Safe Harbor
The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. This press release includes forward-looking statements, including statements addressing future financial results. These statements are subject to a number of risks and uncertainties that could cause actual results or facts to differ materially from such statements for a variety of reasons including, but not limited to: industry conditions, the company’s implementation of its new global financial system and the company’s planned implementation of its new enterprise resource planning system, changes in product supply, pricing and customer demand, competition, other vagaries in the global components and global ECS markets, changes in relationships with key suppliers, increased profit margin pressure, the effects of additional actions taken to become more efficient or lower costs, the company’s ability to generate additional cash flow and the other risks described from time to time in the company’s reports to the Securities and Exchange Commission (including the company’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q). Forward-looking statements are those statements, which are not statements of historical fact. These forward-looking statements can be identified by forward-looking words such as "expects," "anticipates," "intends," "plans," "may," "will," "believes," "seeks," "estimates," and similar expressions. Shareholders and other readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date on which they are made. The company undertakes no obligation to update publicly or revise any of the forward-looking statements.
Arrow ElectronicsMichael Taunton, 631-847-5680Vice President
& TreasurerorPaul J. Reilly, 631-847-1872Executive
Vice President, Finance and Operations & Chief Financial OfficerorMedia:John
Hourigan, 303-824-4586Director, Corporate Communications
