Advanced Portable Technologies (APT) is steaming into the New Year after announcing today it has been snapped up by Brightpoint Australia, a wholly owned subsidiary of US-listed Brightpoint Inc, for an undisclosed sum.
Felix Wong, co-founder and managing director of the handheld and wireless technology distributor, had more to smile about than usual this Christmas after APT signed a deal for 100 per cent of the company's shares to be acquired by Brightpoint Australia. Brightpoint is a telecommunications outsourcing and distribution company founded in the US.
Although it will be business as usual for APT, the acquisition enables the company to grow more rapidly in the converging handheld PDA and wireless telecommunications market than it could have on its own steam, Wong told ARN.
"This acquisition means we'll be able to continue to operate as a separate organisation, but have the cash injection and backing of Brightpoint to expand into this growing market," Wong said. "Nothing will change in [terms of] what APT represents and does."
The two companies had initiated potential acquisition discussions two years ago but it wasn't until late last year that action was taken.
"Did we have to sell? No. But in order to grow at the rate we intend, you'd either have to be acquired or have an unbelievable relationship with your bank manager. And you can't compare with the backing of a US-listed company. Those guys talk in billions when I'm only talking millions," reflected Wong on the deal.
"Basically our strengths lie in the value added distribution of handheld data products, while Brightpoint's strengths are in wireless telecommunications. In recent times the industry has seen strong growth in the handheld data products segment, growth that is expected to accelerate with the convergence of wireless telephony and handheld data products," Wong added.
Photograph: APT managing director Felix Wong.