Clearwater’s Tech Data Corp. has officially become TD Synnex in an $8 billion merger deal.
Tech Data’s acquisition by California-based SYNNEX Corp. (NYSE: SNX) is completed, according to Tech Data officials.
“We’re strengthening our entire portfolio of solutions and raising the bar on the value we deliver to customers and vendors with exceptional reach, efficiency and expertise,” Rich Hume, former CEO of Tech Data, said in the announcement. He will remain in the role at TD Synnex. SYNNEX’s former CEO and president Dennis Polk is now executive chairman of the board.
The deal was announced in March and originally valued at $7.2 billion. The news came one year after Tech Data shifted from a public to private entity with its $6 billion sale to Apollo Global Management Inc. (NYSE: APO).
“It’s really interesting — we have moments in our lives, personally or professionally, where it may be not anticipated and it’s too important to pass on,” Hume said in a previous interview with the Tampa Bay Business Journal. “This is one of those moments where both companies realized there was a great opportunity if we brought our companies together and it lays the groundwork for the next decade to come.”
The company will have dual headquarters in Clearwater and Fremont, California. The two entities will have a 22,000-person combined workforce and more than 150,000 customers across over 100 countries.
Under the new merger, SYNNEX shareholders will own approximately 55% of the combined entity, with Apollo Funds owning approximately 45%. Apollo Funds will receive roughly 44 million shares of SYNNEX common stock, plus the refinancing of current Tech Data net debt and $2.7 billion of redeemable preferred shares.
Tech Data’s merger adds to the already momentous year for Tampa Bay’s public and formerly public companies. Clearwater cybersecurity company KnowBe4 went public in April. AgileThought, a Dallas-based technology company with the majority of its employees in Tampa, went public through a special purpose acquisition company earlier this month. Tampa-based Syniverse is in the process of once again going public after it became private in 2015. Like AgileThought, Syniverse plans to use the SPAC route.