Wesco International stated that it has entered into a definitive agreement to buy Rahi Systems Holdings, Inc., a privately held company headquartered in Fremont, California and a leading provider of worldwide hyper-scale data center solutions, for $217 million. Rahi’s expected trailing twelve-month adjusted earnings before interest, taxes, depreciation, and amortization are about 7.5x the purchase price (EBITDA).
Rahi Systems assists its customers in managing and simplifying technology throughout the whole lifetime of data center solutions. Wesco will combine Rahi with its Communication and Security Solutions (CSS) strategic business segment as a result of this acquisition.
“This acquisition complements our premier data center solution capabilities for our global customers,” Wesco Chairman, President, and CEO John Engel remarked. “Rahi’s large services offering to support the main global hyper-scale data center providers broadens our company’s cross-sell prospects.”
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“Rahi has a proven track record of above-market growth since its establishment.” “With over 900 employees in 25 countries worldwide, this acquisition complements our global coverage and enhances our full suite of data center solutions for contractors, integrators, and end-user customers,” said Bill Geary, Executive Vice President and General Manager of Wesco Communications and Security Solutions.