Wesco International Completes Strategic Acquisition of Rahi Systems to Expand Data Center Capabilities

robot
Abstract generation in progress

Wesco International, the FORTUNE 500 distribution and supply chain solutions leader, has successfully finalized its acquisition of Rahi Systems Holdings, Inc., a global hyperscale data center solutions provider. The transaction, initially announced in September 2022, closed at a purchase price of $217 million, representing approximately 7.5 times Rahi’s adjusted trailing twelve-month EBITDA as of the third quarter.

Strategic Move to Strengthen Market Position

This acquisition marks a significant milestone for Wesco’s growth strategy within the high-margin data center segment. The deal represents the first major transaction since Wesco’s transformational merger with Anixter, signaling the company’s commitment to expanding its presence in one of the industry’s most dynamic sectors.

John Engel, Chairman, President and CEO of Wesco, emphasized the strategic value: “Rahi’s comprehensive services portfolio strengthens our data center solution offerings, providing our global customer base with enhanced capabilities. This investment underscores our focus on high-growth markets and creates meaningful cross-selling opportunities throughout our organization.”

Complementary Scale and Global Reach

Rahi Systems brings substantial scale to the combined entity. The company operates with approximately 900 employees across 25 countries and generated trailing twelve-month sales of roughly $400 million. This geographic footprint and operational expertise complement Wesco’s existing infrastructure significantly.

Bill Geary, Executive Vice President and General Manager of Wesco’s Communications and Security Solutions unit—where Rahi will be integrated—highlighted the synergies: “The combined organization can now deliver a broader technology-focused solution suite to contractors, integrators, and end-user customers. Our expanded global presence and integrated IT expertise position us to better serve customers managing complex data center environments.”

Wesco’s Expanded Platform

Wesco International operates as a leading business-to-business distribution and supply chain solutions provider, with annual revenues exceeding $18 billion and approximately 18,000 employees worldwide. The company maintains roughly 800 distribution points across more than 50 countries and serves a diverse customer base that includes more than 90% of Fortune 100 companies.

Through its Communications and Security Solutions division, combined now with Rahi Systems, Wesco delivers comprehensive data center solutions spanning infrastructure design, deployment, and ongoing management services across the complete technology lifecycle.

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
0/400
No comments
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)