Ingram Micro plans to substantially grow its European auto-ID/data capture (AIDC) and point of sale (Pos) business following its recent acquisition of Paradigm Distribution.
Earlier this month the distributor snapped up the assets of Paradigm for an undisclosed sum.
The deal, which is due to close on Friday, will see Paradigm and its employees folded into Ingram’s new data capture/PoS division, headed by Paradigm’s managing director Ralph Donohue.
Johan Vandenbussche, vice president at Ingram Micro’s pan-European business unit, said the broadliner had been planning the move for some time.
“We started our AIDC and radio frequency identification (RFID) strategy back in 2004, with the acquisition of Nimax in the US. This was followed by SymTech Nordic in 2006 and we have been looking at possibilities in the UK for some time.
“From the UK we will work to develop the Irish market and boost the headcount within the division. We believe the Ingram machinery in the back office will build the business for our reseller partners.”
Vandenbussche said the distributor is planning a number of similar moves across mainland Europe as the demand for AIDC/RFID products continues to increase.
“We believe we can bring the technology to many more SME resellers that can find some application for it beyond traditional vertical technology. SME Resellers have not had access to this technology before. We believe we can bring real value add to the supply chain.”
He also refused to rule out further acquisitions in the UK should the opportunity arise.
Mike Pullon, managing director of specialist auto-ID distributor Varlink, said Ingram’s entry to the UK market was not a threat.
“This acquisition has been the worst kept secret in the industry, but Ingram has been active in this market for some time outside the UK. We see Ingram, Avnet and Midwich fighting for the same space, whereas we are gaining huge numbers of new accounts that need the support of a smaller distributor.”
Ingram snaps up Paradigm