The parceling out of Micro Warehouse’s European operations is complete. In a complicated three-pronged deal Los Angeles-based investment firm Gores Technology Group acquired the European operations of Micro Warehouse. This is Gores’ initial foray into the catalog arena. KPMG advised Gores in the deal.
Upon completing the deal, Gores sold Micro Warehouse’s U.K. operations to British hardware and software retailer Dixons Group. Gores then sold Micro Warehouse’s German and Netherlands operations to the current management.
Gores will retain the French business, which currently operates under the trade name Inmac. Micro Warehouse France is currently the fourth largest retailer of IT products in France, with 2003 revenue of roughly $258 million. Frank Stefanik, executive vice president of marketing and business development, says that Gores sees a tremendous opportunity to grow the small and midsize side of the business and views the acquisition as a platform to which it could add other European companies.
Micro Warehouse’s domestic operations were acquired by Vernon Hills, IL-based CDW in September 2003.