Friday, December 16, 2011

Avnet announces agreement to acquire ROUND2 Technologies

PHOENIX, USA: Avnet Inc. has entered into a definitive agreement to acquire ROUND2 Inc. and its parent Round2 Technologies Inc.. The acquisition has been approved by the Boards of Directors of both companies and is subject to the approval of ROUND2’s shareholders as well as customary closing conditions. The transaction is expected to close on January 3, 2012.

ROUND2 is a national provider of integrated and customizable recycling services, offering vertically integrated solutions through electronics testing and repair, product disassembly and commodity recycling.

From its facilities in Texas, Ohio and Georgia, ROUND2 delivers 100 percent green compliant, comprehensive and transparent solutions for handling large volumes of electronic disposal for its Fortune 1000 clients. For the calendar year 2010, ROUND2 generated revenue of approximately $40 million. ROUND2 will become part of Avnet Integrated Resources, which provides reverse logistics and after-market services to the global technology industry.

Steve Church, president, Avnet Integrated Resources, said: “The acquisition of Round2 Technologies is important to Avnet, as it complements our strategy to offer a total solution to the after-market services industry. With ROUND2’s strong presence and capabilities in e-waste disposal, coupled with our other announced acquisitions, we can now offer call center services, repair and refurbishment, including complex repairs, and environmentally responsible disposal of those assets that no longer have usability.”

The investment is expected to be immediately accretive to earnings and supports Avnet’s return on capital goal of 12.5 percent.

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