Softcat to acquire GDT for £785m to expand US presence

UK-based IT solutions provider Softcat has agreed to acquire Dallas-based GDT for £785 million ($1.05 billion), marking the largest deal in the reseller's history. The acquisition is intended to establish a transatlantic platform capable of supporting customers across North America, the UK, Ireland, and other international markets.

The deal aims to bolster Softcat's capabilities in AI-ready infrastructure, specifically targeting the integration, networking, storage, and security requirements of enterprise AI workloads. GDT will operate as a wholly owned subsidiary, retaining its name, leadership, and workforce. Additionally, the companies plan to expand GDT's Global Operations Center in Bangalore to increase engineering and technical support resources.

Softcat will fund the transaction through a £354 million equity placing, £100 million in existing cash, and new debt facilities of up to £550 million. While brokers like Peel Hunt and Panmure Liberum view the deal positively as a strategic play on AI adoption, some analysts, including those at Citi, noted that the acquisition shifts Softcat's profile from a purely organic growth story to one involving large-scale M&A. The transaction is expected to close by the end of the first quarter of 2027.