PITTSBURGH — Wesco International on Wednesday announced it has entered a definitive agreement to acquire Rahi Systems Holdings Inc. for $217 million.
Rahi, a privately held company headquartered in Fremont, California, is a leading provider of global hyperscale data center solutions. The purchase price represents approximately 7.5x Rahi’s projected trailing 12-month adjusted earnings before interest, taxes, depreciation and amortization (EBITDA).
Rahi Systems serves the full lifecycle of data center solutions by helping their customers manage and simplify technology. With this acquisition, Wesco will combine Rahi with its Communication and Security Solutions (CSS) strategic business unit.
“This acquisition strengthens our leading data center solution offerings for our global customers,” said Wesco Chairman, President and CEO John Engel. “Rahi’s extensive services portfolio serving the leading global hyperscale data center providers expands the cross-sell opportunities across our company.”
“Rahi has a successful history of above-market growth since its inception. With more than 900 employees in 25 countries around the world, this acquisition provides complementary 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, Wesco Communications and Security Solutions.