Broadliner ELKO has signed an agreement for acquiring IT Smart Distribution for an undisclosed amount, strengthening a position among the Top 3 IT distributors in Romania after completing the transaction.
According to the agreement, ELKO Group, through its subsidiary ELKOTech Romania acquired 100% of shares of value-added distributor IT Smart Distribution. The consolidated turnover of both companies, which exceeds €105 million, will rank ELKO among the Top 3 IT distributors in the highly competitive Romanian market. The closing of this acquisition will finalise in the upcoming months. The transaction has already received acceptance from the Romanian Competition Authority.
"Strengthening positions in the CEE region is one of our strategic directions. The Romanian market shows a good potential to grow and has been in our focus for some time now. Over the past three years, our subsidiary in Romania has undergone reorganisation and the development of a new strategy. The acquisition of IT Smart Distribution is an important milestone in this long journey. Consolidation is key to overcome tight competition in the industry and to meet our ambition to become the first choice for customers in Romania”, says Svens Dinsdorfs, CEO of ELKO Group.
IT Smart Distribution is a value-added distributor with one of the most experienced teams in the field and a great portfolio of A-class brands complementary to ELKO’s product portfolio. This generates compelling strategic benefits – the combined strength and well-rounded offer of top-quality products ensure the necessary capacity and competence to address and serve any retailer, system integrator or IT project in Romania.
“IT Smart Distribution is a strong company with a good reputation in the market. We see a lot we can learn from each other. Knowledge sharing, team competence and an extended portfolio will ensure the best-in-class experience for all our customers and partners. I very much welcome IT Smart into the ELKO family and look forward to reaching new heights together, especially in the IT solution business”, adds Carmen Stanciu, General Manager of the joint team of ELKO Romania and IT Smart Distribution.
“ELKO can rely on a dynamic, well-connected team with a long experience in value-added distribution. As we share common values and both companies put the long-term relationship first, this acquisition is a natural fit and will create strong potential growth for customers. We are confident that it is the best decision to become a part of ELKO Group, and I am sure that all parties involved will benefit from this partnership”, says Mona Curceanu, Head of Operations at IT Smart Distribution.
Both companies will start integration at the organisational level – joined portfolios, know-how exchange and one team mindset. The first steps are synchronising terms and conditions of cooperation and ensuring a complete portfolio available to customers. The prevailing focus during the integration process is to make it seamless for both vendors and customers and ensure that their business objectives are realised to their full potential.