Slaughter and May advised Softcat on the $1.05bn Acquisition of General Datatech

Slaughter and May advised Softcat plc, a FTSE 250 leading IT infrastructure provider of products and services, on its acquisition of General Datatech (“GDT”) for an enterprise value of $1,050m

This was funded through a combination of cash on the balance sheet, a c. £350m placing of new ordinary shares, and new debt facilities comprising a £450m revolving credit facility and a £100m term loan. The equity issue comprised a fully underwritten placing of shares to institutional investors through an accelerated bookbuilding process and a retail element.

Founded in 1996 and headquartered in Dallas, Texas, General Datatech is a leading US-based, multi-vendor IT solutions provider which has deep partnerships with leading technology vendors including Cisco, NetApp and NVIDIA.

The acquisition of GDT, which remains subject to the satisfaction of customary closing conditions, represents a landmark moment for Softcat and is one of the most significant cross-border technology transactions by a UK-listed company this year. It will transform Softcat from a predominantly UK and Ireland-focused business into a leading transatlantic IT solutions business.

Slaughter and May advised Softcat on all aspects of the transaction, including the acquisition of GDT (in conjunction with Goodwin Procter acting as US counsel), the equity issue and the new debt facilities.