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EMEA


Computacenter

Computacenter Team

Computacenter Expands U.S. Footprint with Acquisition of Business IT Source

  • Written by Christine Horton
  • July 14, 2022
Computacenter strengthens its presence in the Midwest with “one of the fastest-growing VARs in the U.S."

U.K. channel powerhouse Computacenter has a new acquisition under its belt. It’s Business IT Source (BITS), “one of the fastest-growing VARs in the U.S.”

BITS employs around 100 people and has its HQ and Integration Center in Buffalo Grove, Illinois. Its reported revenue in 2021 was approximately $245 million, with EBIT of approximately $8.9 million.

Keep up with the latest channel-impacting mergers and acquisitions in our M&A roundup.

The existing BITS leadership team will stay to run the business as a separate operating unit within Computacenter United States to maximise the growth opportunity. The business and the team will fully integrate into Computacenter’s North American operations over time, said the company.

Expansion into U.S.

BITS isn’t Computacenter’s first U.S. acquisition. It first gained a foothold in the U.S. with its 2018 acquisition of FusionStorm. It then landed $1.2 billion-revenue firm Pivot Technology Solutions, which reportedly doubled the size of its U.S. operations.

Computacenter group CEO Mike Norris said its U.S. business continues to grow organically; however, the firm would take additional opportunities to improve its positioning.

Computacenter's Mike Norris

Computacenter’s Mike Norris

“BITS gives us a much stronger presence in the Midwest of the United States and brings some great people, customers and leadership to our business,” said Norris.

Norris added that the Buffalo Grove Integration Center will allow Computacenter to serve more of its Midwest regional customers locally over time. It will also help the firm meet its sustainability goals.

“I am confident that the BITS leadership will seize the opportunity to continue their current growth momentum,” he said.

Bob Frauenheim, CEO & co-founder of BITS said he was “excited to become part of the Computacenter family.”

BITS' Bob Frauenheim

BITS’ Bob Frauenheim

“This gives us the opportunity to provide a much broader range of capabilities to our customers and growth opportunities for our people,” he said. “Operating as a separate business unit will allow us to continue our personalized service while leveraging Computacenter’s capabilities to best serve customers and associates.”

The BITS acquisition will help Hatfield, Hertfordshire-based Computacenter to build on its 2021 revenues of £6.726 billion (US $7.94 billion).

Want to contact the author directly about this story? Have ideas for a follow-up article? Email Christine Horton or connect with her on LinkedIn.

 

Tags: MSPs VARs/SIs EMEA Mergers and Acquisitions Strategy

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