Alert 360 and My Alarm Center to merge

TULSA, Okla. and NEWTOWN SQUARE, Pa., Dec. 2, 2021 /PRNewswire/ -- Alert 360 and My Alarm Center today announced that they have entered into a definitive merger agreement (the "Transaction") to create a leading operator in the highly fragmented smart security industry. Funds managed by Invesco will be the majority owners of the combined business upon closing.

When combined, the company will have pro forma revenue of more than $200 million, serve approximately 350,000 customers, and employ nearly 1,000 security experts across the United States.  The increased scale and relevance of the combined company will enable it to realize meaningful synergy potential, capitalize on its strong organic growth engine and serve as a platform for continued industry consolidation.

Richard Ginsburg, current President and Chief Executive Officer of Alert 360, will lead the combined company as Chief Executive Officer.  He will be joined by Anastasia Bottos, current President and Chief Operating Officer of My Alarm Center, in the role of President and Chief Operating Officer of the combined business. Vickie Catina, current Chief Financial Officer of Alert 360, will continue in that role for the combined company.  Amy Kothari, current Chief Executive Officer of My Alarm Center, will step down and remain a member of the Board of Directors.

"Our first focus has always been on the customer.  We believe the combined company will be better able to serve existing and future customers through increased investments in sales, marketing, and innovation," said Ginsburg. "I am very excited to work alongside such a dedicated team of employees in order to make the combined company into a truly transformational industry competitor."

Paul Triggiani, Managing Director of Invesco Credit Partners, said, "We believe the residential and commercial security industry is at a key inflection point with the growth of increasingly complex home automation solutions at the forefront.  To succeed, industry players need significant size, scale, and financial flexibility in order to capitalize on rapid technological progress."

Debt financing for the acquisition is being provided by Pathlight Capital.  Upon completion of the Transaction, the combined company will have one of the lowest levels of debt leverage in the smart security industry, providing it with significant financial flexibility. The Transaction is expected to close before December 31, 2021, and has cleared the expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended ("HSR").

Advisors

Greenhill & Co. and Raymond James served as the financial advisor to My Alarm Center, with Ropes & Gray LLC serving as legal counsel.  Houlihan Lokey served as the financial advisor to Alert 360, with Gibson, Dunn, & Crutcher serving as legal counsel.

About Alert 360

Founded in 1973, Alert 360 is one of the nation's oldest licensed alarm monitoring providers. Today, the company is one of the largest providers of monitored home security and home automation solutions to homes in the United States. Alert 360 serves more than 160,000 residential and 40,000 commercial customers, primarily in the Sunbelt region of the United States. The company monitors over two million security sensors and has an active base of over 80,000 CCTV cameras installed. For more information, visit www.Alert360.com.

About My Alarm Center

Founded in 2000, My Alarm Center is a leading provider of technologically advanced security and smart home automation solutions to residential and small business customers throughout the United States. With a primary focus on providing best-in-class security and alarm monitoring, My Alarm Center offers a range of services and supports more than 140,000 customers under four distinct and quality brands across the United States, including My Alarm Center, Hawk Security, Alarm Monitoring Services of Atlanta (AMSA), and ACS Security. Included in the My Alarm Center family of brands is Alarm Capital Alliance, which has a 20 plus year history of acquiring residential and small business accounts from small and mid-sized security providers.  For more information, visit myalarmcenter.com.