
Intelligent Monitoring acquires ADT UK for £180M
- Intelligent Monitoring Group has signed a binding agreement to acquire ADT's United Kingdom residential security business for £180 million.
- The announcement led to a 14.81% rise in the company's share price to $0.62 during morning trading.
- The acquisition is designed to establish an entry into the United Kingdom security market and expand recurring revenues.
Intelligent Monitoring Group (ASX:IMB) agreed to buy ADT's United Kingdom residential security business for £180 million to expand internationally.
This purchase is expected to raise annualised earnings to $43–$47 million.
The business stated that the transaction will add $12.5 million per month in recurring revenue from over 160,000 customers.
Funding for the acquisition will come from a new debt facility combined with a vendor equity placement.
Following the announcement, the Intelligent Monitoring Group share price was up at $0.62.
The transaction represents the first entry into the United Kingdom security market for the Australian company.
The firm currently services more than 200,000 accounts across Australia through its existing security brands.