IDIS has completed its acquisition of Costar Technologies, a U.S. provider of electronic security products, in an approximately $23 million deal that was first announced in late March.
Prior to the acquisition, approximately 60 percent of Costar Video products were manufactured by IDIS. The acquisition builds on the longstanding OEM ties between the two companies and will catalyze strategic synergies, including a deeper focus on potential growth sectors, according to an announcement.
Costar has a sales channel of more than 100 distributors and 1,000 systems integrators across the U.S. that will benefit from IDIS’ NDAA-compliant technology, according to the announcement.
The acquisition will result in mutual benefits for both IDIS and Costar. As the management and sales teams merge, customers will be able to buy Costar and IDIS solutions from either company, providing customers with comprehensive coast-to-coast U.S. and Canadian coverage.
With demand continuing to increase for end-to-end solutions, Costar’s sales channel will benefit from IDIS’ one-stop-shop model, offering everything systems integrators need to rapidly design and implement a complete video surveillance and deep learning analytics solution.
Costar has many end-user customers that need to upgrade to NDAA-compliant technology. IDIS can offer businesses large and small the assurance of products manufactured at its smart facility in South Korea.
“The Costar and IDIS teams have over 20 years of partnership experience, and we are excited to be merging with a vibrant video tech company,” says Scott Switzer, CEO, Costar Technologies. “With its rapid growth, expanding product line, and reputation for exceptional quality, IDIS combined with Costar’s sales network is poised to make significant inroads in the U.S. market.”
Costar’s Arecont Vision is a pioneer in the multi-imager and ruggedized camera markets and its line-up will both complement and extend IDIS’ range and enable expansion not only geographically, but also support IDIS’ penetration into new vertical markets, according to the announcement.
“IDIS’ growth strategy has always been focused on building long-term relationships with local partners and customers,” says Joon Jun, president of the global business division and senior executive vice president, IDIS. “Leveraging Costar’s established distribution networks and sales channels in North America is reflective of that strategy. We are very proud to be uniting with Costar and making our entire IDIS range of advanced technologies and resources available to our combined customer base.”