Synnex Acquires IBM’s BPO Services For $505 Million

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Synnex is a hardware distributor company that has acquired IBM’s worldwide customer care business process outsourcing operations for $505 million.

This acquisition will likely add around $120 million to EBITDA and about 55 cents in earnings per share, excluding one-time charges and integration costs in the first year after closing.

The IBM operations will be combined with Synnex’s global business services division Concentrix.  Synnex will be paying IBM around $430 million in cash and $75 million in stock.

The two companies will also enter a multi-year agreement.  Synnex’s revenues for the quarter ended August 31st would be at the high end of its prior forecast of $2.65 to $2.75 billion.

Analysts were expecting revenues of $2.70 billion, according to Reuters.

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