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SAN JOSE, Calif., June 3, 2010 (GLOBE NEWSWIRE) -- Bell Microproducts Inc. (Nasdaq:BELM) today provided an update on its previously announced agreement to be acquired by Avnet, Inc. (NYSE:AVT). The transaction is currently expected to close in early July.
On March 28, 2010, the Company entered into a definitive agreement to be acquired by Avnet in a cash merger for $7.00 per share. The total transaction value of approximately $631 million is based upon an equity value of approximately $252 million and Bell Micro's debt position, at face value and net of cash, of $379 million at March 31, 2010. The acquisition is subject to the approval of Bell Micro's shareholders as well as customary regulatory approvals.
The Company and Avnet have received the necessary antitrust approvals in the United States and Canada. The antitrust filing has been made in the European Union and, subject to regulatory approval, the related waiting period is expected to expire in early July. The special meeting of shareholders to vote on the merger is scheduled for June 28, 2010.
"Activities required to close the merger continue to progress well and we look forward to joining with Avnet in the near future," said W. Donald Bell, President and Chief Executive Officer of the Company. "This combination will deliver tremendous value to our customers, suppliers and shareholders."
"We look forward to completing the merger in early July," said Roy Vallee, Chairman and Chief Executive Officer of Avnet. "With the addition of Bell Micro's scale and scope, Avnet will become a stronger player in key technology vertical markets, principally data center products and embedded systems, and we will be well positioned to capitalize on growth opportunities in Latin America. With the companies' strengths and synergies, this acquisition is expected to achieve our return on capital goals in the near future."