This Research Note reviews physical security acquisitions in the commercial smart buildings space over the last 12 months.
We highlight significant M&A transactions in video surveillance, access control, electronic locking, alarm monitoring, fire detection & suppression, and life safety systems.
3 major transactions in the physical security sector were completed in 2023 – Carrier divested its global security business to Honeywell, Bosch acquired Paladin Technologies and ADT sold its commercial fire and security business.
10 Notable Physical Security Acquisitions
Honeywell / Carrier Global Access Solutions
Carrier’s Global Access Solutions was acquired by Honeywell Building Automation in December 2023 for $4.95 billion. With the addition of over $700 million in revenue and an accretive margin profile, Honeywell is transforming their building physical security products business into an access-focused, +$1B revenue player.
GTCR / ADT Commercial
In August 2023, ADT Inc. sold its commercial security, fire and life safety business unit to GTCR, a private equity firm, for $1.6 billion.
ADT Commercial installs, integrates, maintains and inspects commercial building safety and management technologies, which include fire detection and suppression, video surveillance, and access control systems. The unit, now rebranded as Everon, posted 2022 revenue of $1,230 million.
Bosch / Paladin Technologies
In July 2023, Bosch acquired Paladin Technologies, Inc, a Canadian provider of physical security and life safety solutions and system integration services in North America. Paladin Technologies employs around 1,500 associates across 35 locations in Canada and the US with projected 2023 sales approaching USD $400 million.
Intelligent Safety Electronics / FireAngel Safety Technology
In October 2023, Singapore-based Intelligent Safety Electronics (ISE), part of Siterwell Electronics Co., acquired FireAngel Safety Technology Group for £27.68 million.
FireAngel is a UK AIM-listed company, founded in 1998, with a product portfolio of smoke alarms, CO alarms, heat alarms and accessories and 2022 revenues of £57.5 million.
IDIS / Costar Technologies
In August 2023, IDIS, the largest video surveillance manufacturer in South Korea, acquired Costar Technologies Inc., a Texas-based manufacturer of surveillance cameras, lenses, digital video recorders and high-speed domes.
With the acquisition, IDIS, expands its global presence and further diversifies its physical security product portfolio. Costar posted 2022 revenues of $54 million.
Motorola Solutions / IPVideo
In December 2023, Motorola Solutions acquired IPVideo, the creator of the HALO Smart Sensor, an all-in-one intelligent sensor that detects real-time health and safety threats. The company is based in Bay Shore, New York.
The HALO Smart Sensor is a multifunctional safety and security device with built-in vape detection and air quality monitoring, gunshot detection, abnormal noise and motion detection and emergency keyword detection.
Halma / FirePro
In March 2023, Halma plc’s Safety sector acquired Cyprus-based FirePro, a manufacturer of aerosol fire suppression systems which use a non-pressurised condensed aerosol technology which does not contain ozone-depleting substances or fluorinated greenhouse gases, for €150 million. FirePro’s unaudited 2022 revenue was €23.3 million.
Assa Abloy / Kinetron
In September 2023, ASSA ABLOY Opening Solutions EMEIA acquired Kinetron, a Dutch specialist in motion-based energy harvesting systems for self-powered products. Kinetron is a strategic technological addition to the division and will reinforce their offering in energy harvesting locking solutions that are energy efficient, maintenance free and environmentally friendly.
Alarm.com / Vintra
In April 2023, Alarm.com announced the acquisition of substantially all the assets of Vintra, a San Jose, Californian startup providing AI-powered video analytics for the enterprise commercial market.
Integrating Vintra's software capabilities and its science and engineering teams will expand Alarm.com's deep learning program and accelerate the deployment of advanced video analytics solutions for the Alarm.com and OpenEye platforms.
Salto Systems / TouchByte
In May 2023, SALTO Systems, a specialist in keyless electronic access control solutions, acquired UK technology innovator TouchByte, a developer of frictionless access control using advanced face recognition systems.
This article was written by Daphne Tomlinson, Senior Research Associate at Memoori.