Insight shuts German ops
Insight Enterprises is shutting down in Germany. The IT mail order giant is to focus its European operations entirely around the UK, where it recently bought Action Computer Supplies.
Insight is to shut Germany by the end of the year, and the Tempe, Arizona reseller will take an unspecified charge in Q4 to account for closure costs.
It set up in the country in December 1998, buying Computerprofis Computersysteme, a $50m t/o reseller based near Frankfurt. Insight paid $6 million in cash and $2.4 million in stock. A profit-related performance commitment for five years was also agreed, but as the German op is historically lossmaking - Insight says - there is unlikely to be a nasty surprise here for shareholders.
Insight set up in the UK also in 1998, through the acquisition of Choice, a fast-growing but financially stricken mail order reseller based in Notts.
Following the takeover of Action Computer Supplies for £27m cash in October this year, Insight claims that it is the UK's fifth biggest reseller and the country's biggest IT mail-order business. ®