Establishing a larger footprint in the electronics market down under, Arrow Electronics Inc.'s Asia Pac subsidiary is acquiring the components distribution business of Adilam Pty. Ltd. for an undisclosed sum.
Adilam (Melbourne, Australia) is a 23-year-old, privately owned semiconductor and components distributor with well developed offerings in the way of design services, logistics and supply chain management. The company has offices across Australia and New Zealand with warehouses in Melbourne and Christchurch.
According to Arrow, the acquisition will accelerate its strategy to gain market share in the region known as ANZ, but will be mutually beneficial.
"Arrow gains an expanded customer base and additional strategic product lines, which are critical for Arrow to further expand market share in ANZ," said Gern Labuschagne, vice president of Arrow " South Asia, in a released statement. "Adilam's customers and suppliers will gain instant access to Arrow's specialized expertise, technical resources, supply chain solutions and extensive logistics capabilities."
The deal is expected to be completed June 1. Arrow said it has no plans to change the local structure of Arrow and reporting relationships of Arrow's existing employees. Adilam employees will be transferred to Arrow Australia and assigned new positions.