By James Wells

BRISBANE: Publicly-listed technology distributor, Cellnet, has acquired Victorian-based VME Systems – the largest flash memory distributor in the Australia and local agent for SanDisk.

According to Cellnet managing director, Adam Davenport, the addition of SanDisk and VME Systems broadens the company’s range of telecommunications, audio visual and information technology products.

“SanDisk is the clear leader in flash memory,” Davenport said in a statement to the Australian Stock Exchange yesterday afternoon.

“It also has an outstanding range of MP3 music and multimedia devices, which have rapidly grown to hold the number two position in the US market since they were introduced only 12 months ago”.

“Cellnet has a strategy to develop a number one or two position in the market with its vendors and this is immediately achieved with SanDisk, which will become one of Cellnet’s most important partners,” he said.

Davenport said the SanDisk products would complement Cellnet’s existing product range and add new customers.
Under the terms of the agreement, VME founding owner Michael Hornsby will be retained as a Cellnet executive and continue to focus on growth of the SanDisk business.