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Home Distributor

Newsflash: Westcoast joins forces with ALSO

Joe Hemani set to become one of ALSO’s major shareholders

Oxygen staff by Oxygen staff
25 July 2024
in Distributor, News
Westcoast Theale HQ
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The UK’s largest distributor, Westcoast, has joined forces with mainland European rival ALSO, creating a €15bn-sales juggernaut.

Switzerland-headquartered ALSO this morning announced it has “strengthened its global position” via the deal, which was positioned as an “alliance”.

It covers Westcoast’s operations in the UK, Ireland and France, with Westcoast Chairman Joe Hemani set to become one of ALSO’s major shareholders.

Talking exclusively to IT Channel Oxygen this morning, Informa Fellow Steve Brazier said the changing nature of distribution will have played a key role in the timing the duo’s decision to finally merge after years of “flirting” (see here for more).

Giants join forces

Westcoast was last August crowned the UK’s largest distributor in IT Channel Oxygen’s Top 45 UK Must Know Distributors.

Its total revenues stood at £4.2bn last year.

Present in 31 countries, ALSO is by far the continent’s largest homegrown distributor, with net sales reaching €11.1bn last year.

This means their combined sales will rival European market leader TD Synnex’s $19.4bn regional tally.

ALSO and Westcoast have history, with the duo among four founding members of the European Wholesale Group, which was disbanded in 2008.

Additionally, ALSO now provides over 1.5 million seats to end customers of Westcoast with access to the cloud via the ALSO Cloud Marketplace.

“This next level opens exciting opportunities for us to scale our business and benefit from the expertise of the UK team; for our customers it means the highest level of expertise in IT provisioning, cutting-edge infrastructure solutions, and services via digital platforms such as cloud, AI, IoT and cybersecurity,” ALSO Chairman Gustavo Möller-Hergt stated.

The deal comes just 18 months after ALSO launched a UK cloud business.

Perhaps unsurprisingly considering ALSO’s strength in Germany, the deal does not include Westcoast’s operation there (which it inherited via its 2022 acquisition of KOMSA), or its Dutch business.

Hemani added: “This is an alliance of two highly successful businesses sharing the same mindset of growth.

“Over the last 42 years, our company went from strength to strength. And this is how it will remain in the future. The continuity of the business, which is paramount for vendors, customers, and our team alike, is secured with this move. I am excited to play an active role during what I know will be a smooth transition and beyond.”

The deal is still subject to the standard regulatory approvals.

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