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April 25, 2011
Intcomex, a U.S.-based, value-added distributor of IT products to Latin America and the Caribbean, has entered into an agreement with Brightpoint (News - Alert) Latin America, Inc., a global provider of supply chain solutions to the wireless industry.
The strategic alliance between the two companies, previously announced on March 16, 2011, has been successfully completed. Completion of the investment is expected to expand Intocomex's footprint in the growing wireless market across Latin America and the Caribbean.
“Intcomex’s strategic alliance with Brightpoint is in line with our strategy to accelerate our entry into the wireless mobile products market and complements the portfolio of IT products that we currently bring to the market,” stated Michael Shalom, CEO and President of Intcomex, in a press release.
Under the terms of the agreement, Brightpoint was entitled to approximately 23 percent equity ownership in Intcomex. In return for a stake in the company, Brightpoint contributed certain of its Latin American operations and also invested $15 million in cash. It retained the legacy business in Puerto Rico.
J. Mark Howell, Brightpoint Latin America's representative, was appointed as a member of the Board of Directors of Intcomex, while Anthony and Michael Shalom became significant shareholders. Brightpoint Latin America joins City Venture Capital International or CVCI, a unit of Citigroup Inc. Intcomex, Inc., is also a CVCI portfolio company.
Mini Swamy is a contributing editor for TMCnet. To read more of her articles, please visit her columnist page.
Edited by Rich Steeves