Smart home and small business security giant ADT Inc. has entered into a definitive agreement to sell its commercial security, fire and life safety business unit to private equity firm GTCR for $1.6 billion, subject to customary purchase price adjustments. GTCR is no stranger to the commercial security industry, buying electronic security alarm monitoring company Protection One in 2010 among its many transactions.
“This transaction is mutually beneficial for ADT and ADT Commercial, which will benefit from GTCR’s support and expertise, positioning the business to continue providing best-in-class solutions and services to its customers,” says ADT President and CEO Jim DeVries in the company announcement. “We thank the entire ADT Commercial team for their hard work and look forward to seeing them grow.”
Dan Bresingham, president of ADT Commercial, says the unit “has been instrumental over the last several years building our commercial business success and bringing a depth of value, experience and knowledge to our customers.
“We are excited to partner with GTCR, an organisation that supports our mission and shares our passion to build this business to become the premier service provider in the commercial security, fire and life safety industry,” he says in the announcement. The transaction has been approved by ADT’s board of directors and is expected to close in the fourth quarter of 2023, subject to customary closing conditions, including regulatory approvals, according to the company announcement.
“ADT Commercial has established itself as an innovative leader in providing the critical safety services that businesses need to protect their day-to-day functionality,” says David Donnini, managing director and head of business & consumer services at GTCR, in the announcement.
“We are very proud to once again partner with the leadership team of ADT Commercial to continue to invest in the platform and deliver the solutions its customers have come to expect,” he says. “ADT has done a tremendous job in further developing this segment in recent years and we are excited to help drive the business forward in its next chapter of growth.”
