Ingram Micro Inc. (IM) has agreed to a $6 billion dollar buyout by China's Tianjin Tianhai Investment Co., underscoring china's growing appetite for us technology companies. Shares of the Irvine, California-based it products and services provider rallied nearly 24% to $36.65 a piece during after-hours trading on the announcement. The company announced that it will be part of HNA Group following the transaction close, which owns a variety of assets including China's Hainan Airlines. HNA Group is the largest shareholder of Tianjin Tianhai. The deal is taking place as Chinese capital is flocking to us markets, most recently evidenced by China Resources Microelectronics and Hua Capital Management offering to take Fairchild Semiconductor International Inc. (FCS) private for about $2.5 billion. However, the chipmaker sided with rival suitor ON Semiconductor Corp. (ON) Tuesday citing regulatory concerns. Tianjin Tianhai, which had no significant presence in the it distribution sector, is shelling out 6.7 times Ebitda and 12 times forward earnings for the target, Stifel analyst Matthew Sheerin wrote in a note late Wednesday.
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