Synnex Acquires IBM’s BPO Services For $505 Million
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.