European distribution group ALSO Holding enters the Portuguese market through the acquisition of JP.di, the IT distribution arm of local group JP Sa Couto and number 3 on the local distribution market, for an undisclosed amount.
"In a country with a Total Addressable Market of €1.5b, its comprehensive ecosystem with currently about 3500 resellers makes the company one of the dominant players in the market. Combined with ALSO's digital management tools and operational excellence, this presents an excellent base to scale profitable growth. "It was very important for us to find a new owner for the largest part of our operations who will continue what we have built over the last 30 years, while JP Sá Couto Holding will continue focusing on education projects in Portugal and all over the world", states Chairman Jorge Manuel Fidalgo Martins Sá Couto.
The deal includes commercialising the educational platform and Tsunami gaming brand of JP Sá Couto in Europe, complementing ALSO's already existing expertise and offers in these areas. Joao Paulo Fidalgo Martins Sá Couto, Vice-President, confirms: "ALSO not only understands our industry but also our culture and invests in our country and our team. I am very much looking forward to accompanying the transformation and integration of our company, passing on our knowledge and making the new entity a force to be reckoned with in Portugal and beyond."
With the acquisition, which is still subject to the standard regulatory approvals, ALSO is offering all its 3 business models in the region. Portuguese resellers will be able to establish and grow their consumption business with the company's Cloud Marketplace and the digital platforms like IoT, Cybersecurity or Artificial Intelligence. Migrating educational and gaming offers to the ALSO Cloud Marketplace (ACMP) will create an improved portfolio for end customers in all countries, enabling further monetisation of the Unique Users.
Gustavo Möller-Hergt, CEO of ALSO Holding, said: "by consistently following our strategy, we have enhanced our ecosystem and created additional growth opportunities. At the same time, we are constantly increasing our knowhow and vertical expertise to drive monetisation."
The company reiterates the 2021 guidance of EBITDA between 240 and 255 million € with a ROCE of 15 to 20%. To cover whole Europe, the company still has to venture in the British, Spanish, Irish, Greek and (maybe) Turkish markets. No doubt thus other acquisitions are planned over the coming months.