As Memorex Telex staff come to terms with their new owner, NCR has revealed it is planning another six or seven acquisitions worldwide.
Josh Claman, vice president, customer services for Asia-Pacific at NCR, said the acquisition of Memorex Telex Asia-Pacific is designed to increase its presence in the region.
Claman said the IT hardware and services company will acquire at least another two companies in the Asia-Pacific region this year. He anticipates NCR will be make further announcements in Q3 and Q4 about other companies in the network integration space.
According to Claman, the negotiations for the acquisition of Memorex Telex had been in progress for about three months. "We've actually been attracted to Memorex Telex for some time," he said. "A few years ago we were attracted to them as well but they were in the midst of being purchased by Kanematsu."
He cited Memorex Telex's Cisco Gold Certified partner status, its sales and technical skills in networking, and its network control centre as some of the gains for NCR through the acquisition.
Claman added that NCR had also bought the network integrator because of Memorex Telex's base of maintenance contracts, "which made the business case that much more attractive".
"Our objective is to take these skills from Memorex Telex and combine them with NCR's skills and invest aggressively and grow in the region," Claman said.
He said staff from both companies would work jointly on the integration, and it had nominated "key" Memorex Telex people to work with its staff to develop an integration plan. It is expected the integration will take two months.
Asked by ARN if it was retaining all Memorex Telex staff, Claman said it was retaining as many of their key skills as it could. "Our issue is not places for them or business for them, our issue is can we attract them to NCR and I'm pretty confident we'll have a lot of luck doing that."
He said that in any acquisition not everyone would be happy. "I think there has been a bit of uncertainly for the last couple of months. Some rumours have been around the market, but I think the feedback we're getting now is relatively positive."
Asked by ARN about a management buyout rumour, Claman confirmed he'd heard the same rumour, but didn't know the details of it. "We were negotiating directly with Kanematsu, which is Memorex Telex's parent and that's what we were focused on."