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8-K - FORM 8-K - BRIGHTPOINT INC | c63646e8vk.htm |
Exhibit 99.1
Brightpoint Enters into Agreement to Make Latin American Strategic Investment in Intcomex
| Brightpoint to invest $15 million and contribute certain existing Latin America operations in exchange for an approximate 23 percent interest in Intcomex | ||
| Increases distribution and supply chain services infrastructure in Latin America through Intcomexs platform | ||
| Creates combined in-country operations in 13 countries throughout Latin America and the Caribbean serving more than 44,000 customers in 41 Latin American countries |
INDIANAPOLIS March 16, 2011 Brightpoint, Inc. (Nasdaq: CELL), a global leader in providing
supply chain solutions to the wireless industry, today announced that it has entered into an
agreement to make a strategic investment in Intcomex, Inc. Under the terms of the agreement,
Brightpoints wholly-owned Miami-based subsidiary, Brightpoint Latin America, Inc. (Brightpoint
Latin America), will invest $15 million in cash and contribute certain of its Latin American
operations, excluding certain legacy business in Puerto Rico. Upon consummation of the
transaction, which is subject to certain closing conditions, Brightpoint Latin America will own
approximately 23 percent of the outstanding common stock of Intcomex and hold a seat on the
Intcomex Board of Directors. Brightpoint Latin America joins Citi Venture Capital International
(CVCI) and Anthony and Michael Shalom as significant owners of Intcomex.
Brightpoint intends to significantly expand its participation in Latin America by leveraging
Intcomexs more than 20-years of experience in the region and utilizing Intcomexs reliable and
efficient in-country network in 12 countries plus its United States based operations in Miami, FL.
This investment positions Brightpoint to become a significant player in both the wireless and
information technology (IT) markets in Latin America.
Intcomex, a CVCI portfolio company, is a leading IT distributor focused solely on Latin America and
the Caribbean. Offering a unique dual distribution approach as both a wholesale aggregator and
in-country distributor, Intcomex has built a broad infrastructure throughout the region, linking a
diversified set of vendors with a highly fragmented base of customers that is unmatched in the
region. This strategic alliance will offer Brightpoints customers and vendors access to Intcomexs
established network of resellers, retailers and customers in the Latin American and Caribbean
markets. Additionally, manufacturers serving the Latin American market will have access to an
alternative distribution and logistics provider offering world-class solutions to the wireless
industry. In turn, Intcomex will gain entry into the wireless device industry by leveraging
Brightpoints proven supply chain logistics and distribution expertise, product and service
portfolio, global wireless channels and deep supplier and customer relationships.
This strategic investment will bring together two industry leaders in their respective fields,
stated J. Mark Howell, President, Brightpoint Americas. Investing in Intcomex aligns with an
important objective within Brightpoints global strategic plan of expanding our geographic
footprint and increasing the breadth and value of services and solutions we offer our vendors and
customers. We are excited about the opportunity to partner with Intcomex and diversify and expand
into the information technology industry, and bring our unique wireless supply chain service
capabilities to customers throughout Latin America and the Caribbean.
Intcomex has been operating in Latin America and the Caribbean for over 20 years and has built its
network through strong local relationships and unparalleled customer service, stated Michael
Shalom, Chief Executive Officer and President of Intcomex, Inc. This proposed transaction with
Brightpoint offers Intcomex the opportunity to expand into the wireless device industry and add to
our already extensive portfolio of products and services. This investment is a natural fit for both
companies.
Blank Rome LLP acted as outside counsel and Blackstone Advisory Partners L.P. acted as the
exclusive financial advisor to Brightpoint in connection with the transaction.
About Intcomex
Intcomex is a US-based value-added distributor of IT products to Latin America and the Caribbean.
Intcomex distributes computer equipment, components, peripherals, software, computer systems,
accessories, networking products and digital consumer electronics to more than 44,000 customers in
41 countries.
In addition to providing customers with a wide-range of products, Intcomex also delivers a unique
set of services including training on new products, technical support, assistance with customs,
duties and taxes, and warranty services. Intcomex prides itself on its outstanding technical
support areas, efficient shipping and receiving procedures, and effective return-to-manufacturer
authorization processes. Its commitment to fulfill customers needs is the driving force behind
its overall success.
About Brightpoint, Inc.
Brightpoint, Inc. (Nasdaq:CELL) is a global leader in providing end-to-end supply chain solutions
to leading stakeholders in the wireless industry. In 2010, Brightpoint handled approximately 99
million wireless devices globally. Brightpoints innovative services include distribution channel
management, procurement, inventory management, repair services and reverse logistics, software
loading, kitting and customized packaging, fulfillment, product customization, eBusiness solutions,
and other outsourced services that integrate seamlessly with its customers. Brightpoints effective
and efficient platform allows its customers to benefit from quickly deployed, flexible, and cost
effective solutions. The Company has approximately 4,000 employees in more than 25 countries. In
2010, Brightpoint generated revenue of $3.6 billion. Brightpoint provides distribution and
customized services to over 25,000 B2B customers worldwide. Additional information about
Brightpoint can be found on its website at www.brightpoint.com, or by calling its toll-free
Information and Investor Relations line at 877-IIR-CELL (877-447-2355).
Certain information in this press release may contain forward-looking statements regarding future
events or the future performance of Brightpoint. These statements are only predictions and actual
events or results may differ materially. Please refer to the documents Brightpoint files, from time
to time, with the Securities and Exchange Commission, including Brightpoints most recent Form 10-K
and Form 10-Q and Exhibit 99.1, thereto. These documents contain and identify important risk
factors that could cause the actual results to differ materially from those contained in or implied
by these forward-looking statements. Readers are cautioned not to place undue reliance on these
forward-looking statements that speak only as of the date these statements were made. Brightpoint
undertakes no obligation to update any forward-looking statements contained in this press release.
Contacts: |
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Brightpoint, Inc.
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Brightpoint, Inc. | |
Tom Ward
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Carolyn Manco | |
Investor Relations
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Media Relations | |
317-707-2745
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317-707-2276 |