Dicker Data has acquired Auckland, New Zealand-headquartered Exeed Group for $68 million to bolster its presence across the Tasman.
The distributor said the deal would make its New Zealand business the second largest IT distributor in the country, with an estimated revenue of at least NZ$500 million combined.
Exeed Group has a presence in Australia after expanding in 2016, and also brings in more vendor partners to Dicker Data through the acquisition.
Exeed’s vendor partners include Apple, HP, Hewlett Packard Enterprise and Microsoft,
with a focus on the commercial and retail sectors, and also has exclusivity deals with Motorola, Ruckus and Webroot.
Dicker Data chairman and CEO David Dicker said the company has made many attempts over the years to acquire Exeed.
“After many attempts, over more years than I can count, we have finally got a deal done to acquire Exeed,” Dicker said.
“This transaction will put us a very strong number 2 in NZ, with a platform for number 1. The combined companies are highly synergistic. The deal done will be all cash. A very satisfying outcome.”
Exeed brings in 119 staff to Dicker Data, including 24 based in Australia. Exceed CEO Justin Tye will lead the combined NZ business in the new role of NZ country manager.
Dicker Data said Exeed shares many cultural similarities with each other like beating their multinational rivals in their local markets. The two companies together combine for a customer base of 1200 resellers.
Dicker Data expects the deal would be completed by the end of August 2021.