SDM's 2011 Dealer of the Year to sell for $2B, Protection 1 diversifies with automation services and integrator acquisition, UL Works to develop video performance standard, Securewatch 24's new resi offering requires no long-term contracts, Diebold hires Gonzales as security VP under Byerly, and more.
After months of speculation SDM previously reported on, Vivint, SDM’s Dealer of the Year in 2011, along with 2Gig Technologies and Vivint Solar, has been sold for a price tag of more than $2billion. Todd Pedersen, chief executive officer of Vivint, joins SDM for an exclusive podcast to discuss the details of the acquisition. Plus, Imperial Capital’s Jeff Kessler discusses the details and implications of the transaction and valuation.
At the close of 2011 fiscal year, SDM reported on an apparent decrease in merger and acquisition (M&A) activity for security dealers and integrators. At the time, however, several industry consultants predicted that the volume of small-to-medium acquisitions would increase significantly in 2012. The end of the second quarter has seen that prediction come true — in spades. Three dealers in the top half of the SDM 100 completed very strategic acquisitions recently, each following a different growth strategy but all presenting a revitalized M&A landscape.
Alarm Capital Alliance (ACA), a nationwide security company ranked No. 11 in the SDM 100, partnered with Norwest Venture Partners (NVP), a global investment firm with $3.7 billion in capital under management.
Kratos Defense & Security Solutions Inc., San Diego, a national security solutions provider, announced that it acquired selected assets of an unnamed critical infrastructure security and public safety system integration business from a large international public company.
First Alarm, Aptos, Calif., ranked No. 31 on the 2011 SDM 100, a jump from spot no. 36 in 2010. The super regional Bay area dealer worked hard at making strategic acquisitions and reevaluating its attrition programs to minimize the impact of the recession.
In past years, the end of a calendar year signaled “acquisitions season.” As the year ends and companies endeavor to take advantage of much needed tax breaks, the industry typically is flooded with news of mergers and acquisitions (M&A). In recent recession years, this seemed an indication of the security industry’s resilience and ability to thrive while other industries faltered. However, 2011 seemed quieter than others and we set out to find out why, while the industry continues to do well, merger and acquisition activity is down.
