Under the deal majority shareholder, Gareth Stocks will exit the company.
In a statement, the company said that Stocks was leaving the company in an extremely strong position.
“This MBO has been on the cards for over a year, allowing careful planning and structure. This is great news for all involved – our staff, suppliers and customers – because it means there will be virtually no change. It’s essentially business as usual.”
IDN was founded in 1988, initially selling IBM printer ribbons, and now provides a range of IT and audiovisual products.
The firm reported sales of £24.5 million for the year ending 31 July 2017, up from £21.7m in the previous year. Operating profit was £271,245.
Co-CEO Shuttleworth said: “The company has been growing from strength to strength. We have high hopes for the future of IDNS, and a clear vision and plan on how to move the company forward.”