Brightpoint, Inc. (Plainfield, Ind.) has announced plans to purchase the outstanding shares of Dangaard Telecom A/S, one of Europe's largest distributors of mobile phones and accessories, as part of an almost all-stock deal valued at $308 million.
"This transaction will join together two of the most prominent players in the wireless handset distribution and logistics industry to create the true global leader," said Robert Laikin, Brightpoint’s CEO and chairman. "Our two companies complement each other perfectly in terms of geography, service offerings and shared commitment to operational excellence. Our vendors, customers, employees and shareholders will all benefit from the global platform created by this transaction."
With estimated combined revenues of $4.6 billion, the board of directors of Brightpoint, Inc. and Dangaard Holding have unanimously approved the transaction. Pending final shareholder approval, the deal is expected to be completed by June or July 2007. Plainfield, Ind., will remain the corporate headquarters of the combined company, with Padborg, Denmark, as its European headquarters.
Brightpoint has 2,100 employees in 15 countries. It reported 2006 revenues of $2.4 billion and a net income of $35.6 million. Dangaard Telecom, a privately held portfolio company of Nordic Capital Fund VI, has 1,000 employees in 14 countries. It reported 2005/2006 fiscal revenues of $2.1 billion and net income of $24.8 million. Together, the two companies handled more than 64 million wireless devices in 2006.