New York-listed Ingram Micro is to open a local subsidiary in conjunction with MB Technologies to distribute IT components.
Ingram Micro SA will open its office on 1 June and will distribute IT components to value-added resellers, system integrators and original equipment manufactures' customers into the sub-Saharan territory.
The global distributor, which is the only global IT distributor with operations in Asia, says the move is part of its strategy to expand into new geographies with significant IT markets. The company distributes products in 100 countries.
Hans Koppen, president of Ingram's European operations, says the African expansion plan is an attractive opportunity. "For our component vendors it is an excellent opportunity as it will open an entirely new and rapidly growing market. As for our new customers in southern Africa, they will benefit from an expanded product portfolio and the one-stop components shopping experience Ingram Micro provides."
MB Technologies, 26%-owned by Royal Bafokeng Holdings, says it has been considering a partnership with Ingram locally for some time. CEO Leo Baxter says the company is now "ready to move beyond our focus on providing complete, end-to-end solutions to resellers and their customers".
Baxter says the company aims to take advantage of opportunities in the components sector. "Judging by the growth of the South African IT market over the past couple of years, the components sector that Ingram Micro and MB Technologies are choosing to focus on is poised to grow at a rate significantly higher than the overall IT market."
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