NEW YORK (TheStreet) -- Shares of Avnet (AVT - Get Report) were jumping 12.22% to $44 in pre-market trading on Monday after technology distributor Tech Data (TECD) agreed to buy its technology solutions segment for $2.6 billion.

Avnet, an electronics distributing company based in Phoenix, will receive $2.4 billion in cash and 2.8 million shares of Tech Data stock, currently valued at about $200 million.

The companies said the transaction will allow them both to focus on core strategies and scale their businesses. Clearwater, FL-based Tech Data and Avnet also plan to partner on Internet of Things end-to-end solutions in the upcoming months.

Avnet's technology solutions unit is an IT solutions distributor.

The deal is expected to close in the first half of 2017.

Shares of Tech Data were rising 6.04% to $73.53 in pre-market trading on Monday.

Separately, TheStreet Ratings objectively rated Avnet stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

TheStreet Ratings rated this stock as a "buy" with a ratings score of B.

The company's strengths can be seen in multiple areas, such as its attractive valuation levels and largely solid financial position with reasonable debt levels by most measures. We feel its strengths outweigh the fact that the company has had sub par growth in net income.

You can view the full analysis from the report here: AVT