Continued softness in end markets hindered M&A activity to start the third quarter, with July among the slowest months of 2016.
The electrical, electronics and power transmission sectors saw large distributors acquire growth, with a handful of other deals smattered across the rest of the industry.
France-based electrical distributor Sonepar, whose subsidiary Sonepar North America is No. 1 on MDM's Top 25 Electrical Distributors list, agreed to acquire Netherlands-based wholesaler EMG van de Meerakker. Founded in 2007, EMG van de Meerakker is a specialized electrotechnical equipment wholesaler for the machine and panel construction sectors.
Crescent Electric Supply – No. 8 among the top electrical distributors – agreed to acquire online retailer Home Products Etc. LLC. Founded in 2012, HPE serves both B2B and B2C markets through its most commonly known web property, www.EliteFixtures.com.
Avnet Inc. – No. 1 on MDM's Top 5 Electronics Distributors list – agreed to acquire electronic components distributor Premier Farnell plc, Leeds, United Kingdom, for £691 million (US$906.8 million). The acquisition "will significantly strengthen Avnet’s digital footprint worldwide," said Avnet interim CEO William Amelio.
The industrial safety distributor, which will continue operations under its existing management team, provides a wide range of personal protective equipment, as well as other essentials such as hazardous storage units, first aid supplies and gas detection equipment.
Here are other key deals that occurred in July 2016: