GTCR acquires security provider ADTC in $1.6bn deal

BY Fraser Tennant

In an acquisition expected to fortify its position in the market, commercial security, fire and life safety solutions provider ADTC has been sold to private equity firm GTCR in a deal valued at approximately $1.6bn.

Headquartered in Texas, ADTC has built a robust national footprint with more than 5300 colleagues across over 100 locations servicing more than 300,000 customer sites.

GTCR’s investment will strengthen ADTC’s position as one of the largest and fastest growing providers in the space. Together, GTCR and ADTC will implement a strategy to drive continued growth and innovation, with additional capital available to help fund strategic M&A opportunities.

As an independent company, ADTC will continue to focus on delivering reliable service, strong technical expertise and unique solutions to protect its customers’ people and assets.

“We are excited to again partner with the incredible team at ADTC,” said David Donnini, managing director and head of business & consumer services at GTCR. “This is a unique opportunity to invest in a successful business that we know well and helped develop, alongside partners that we have worked with for two decades.”

The acquisition of ADTC marks GTCR’s fourth investment in the security and fire industry, which includes the acquisition of Cambridge Protection Industries, the carveout of Honeywell Security Monitoring and the taking private of security company P1.

“As a firm, we have a long history of investment in the security and fire sector and have always viewed the commercial market as an attractive area for growth,” said Tom Ehrhart, principal at GTCR. “We look forward to building upon ADTC’s position as a premier provider of critical services and continuing to invest in its expansion and innovation.”

The transaction is expected to close in the fourth quarter of 2023 subject to customary regulatory approvals.

Mr Donnini concluded: “We believe making ADTC a standalone company strengthens its competitive positioning, sets up ADTC for future growth and builds upon GTCR’s history of successfully transforming businesses in the sector.”

News: Security firm ADT's commercial unit to be taken private by GTCR for $1.6 bln

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