Soaring Private Equity Interest in Physical Security Deals, Says Imperial's Mack
Buying out of security companies, already quite prominent, is going up much further, according to Imperial Capital's EVP & MD John Mack.
In this note, we examine Mack's comments at PSATec and to IPVM directly, plus PE acquisition trajectories within physical security.
Some private equity investments IPVM has covered recently include:
- Pavion Aims To Be Top 3 Largest Global Security Integrator (CEO Interview)
- ADT Sells Off Commercial Integration Business For $1.6 Billion
- Everon CEO On ADT Sell-Off And Growth Plans Analyzed
- Triton Invests / Acquires WaveLynx, Competitor to HID
- ACRE Acquired, Aims For Ambitious Expansion And Acquisitions
- 3SI / Wren Acquires VMS Developer Surveill
- James Rothstein Speaks On Investing in Integrators
Executive *******
***** **** **** ** **** ** be ********* ** ******* ******* ****** investors ** **** ******** ** ******** security ******** ****** *** ** ********* in ******** ******** ********* **** *** security ******** ********** ******** ****** **** more ******* ***** "******* ****** ****," they *** **** "******* ****** ****** to **** **** **** **** *** potentially *******." ** ******* ********** **** to **** ** ****** **** ***** are "**** ** ** ***** ******** in ********* ** *** ******** ******* integration *** **** ****-****** *******, ***** is ** ** ** **** ** would **** **** *** ***** ***."
*******, ************ ** ******** **********, *** M&A *** ********* ******* **** **** "depressed" ** *** **** *** ***** amid * ****-******** **** ***********. **** commented **** ** ** ****** *** equity ****** ******* ** ** ****, considering *** ****** ** **** *** equity *********. ** ******** *** *&* market **** ****** ****, ** *&* momentum ** ******* ********* ** *** overall ******* ****** *******.
***** *** ******** ******** ***** *** not *** * ***** ****** ** M&As ** *** ***** ******* ****** of ****, **** **** **** ** expects ** *** **** ** ***** throughout *** **** ** *** **** and **** * "*********** ********" ** deals **** **** ******* ** ******* will "**** *** **** *** ********* earning * **** ** ****** ********** with *** ** ******** ******* ** better."
M&A ********** ******* ** **** ***** "*********" *****
*&* ********** **** ********* ***** **** the ******* ******* ****** ** *** past *** ***** (***** *** **** peak) *** ** *** ****** **** of **** *** *** ********** ** 2024, **** ****:
******* *******, *** ****** ******* **** been ******** ********* *** *** **** few *****. **'** ******** ** *** that ****** ** **** *****'* *** things ** ***** ***** ****. **** is *** **** ***** ****** ** trended.
[*** **** *** ****** ********* ****] depressed *** **** ****** ** ***** but **** ***** ** **** **** in ****.
*&* ******** *** **** ********* [*******] M&A ** ****** ********** ** *** cost ** *******. ******* ***** *&* transactions ******* **** ****** ** ****, and **** ***** **** **** ***** an ********* ** *&* ********.
******* *** *** ******** *** **** investors *** ******** **** ** *** high ******* **** *** **** **** are ********* **** **** *** * soft ******* ** *** *** ** 2024, **** *****, ****** **** ** "has ***** **** **** ******* ***** the ********* ** *** ******** ** the **** ** ***** **** [** is] *****."
**** ****** *** ** ******* ****** deal ****** ** *** **** ***** years ** ******** *** *** ****** was "*********" *** * *** ***** and *** * ******** ** ** 2024:
Private ****** *********' ******* ******** ** *** ******** ********
****** **** * ******** ** *&* activities, **** ******* *** *** ******* equity ********* *** ******* ************ **** interest ** *** ******** ******** ***** and *** ******** ******* ** ******. He ****** **** ********* **** *** high ********** ** ******* ****** ************ at *********** *******'* ******** ******** ************** **** **** *** *** ***** are **+ ******* ****** ***** ******** in ********* ** *** ******** ******* integration *** **** ****-****** *******, ***** is ** ** ** **** ** would **** **** *** ***** ***:
****'* *** ** *** **** ******* you *** **** ******* ** **** private ****** *&* ********. * **** to **** ****** **** ** *** private ****** **** ** **** ** the *********** ** **** ***** **** in ********, *** ******** ******** **********. I **** ** ** ******** ** I ***** *** *** **** ** come ** *** ***. ** *** over ** ********* ***** ** *** conference **** **** ****.
** **** * ***** ** *** number ** ******* ****** ***** *** the *********** ** *** **** **** safety ********** ** *** ******** *****; it's **** **** ** *********, *** of ***** ****** ** ** *&*.
The ******** ******** ****** **** **** * ****-******* ***** *******
**** ******* *** **** ** *** public ******, ******** *********** ** ******* "directly ** ****" **** *** ****** and *** *&* *** *****, ***** he ********* ** **********, ********** ***** the ****** *** **** ******* "************* well." **** ******* ********* **** *** security ******** ** "******* ** **** leading **** ******* ** ***** ** public ****** *******" ******* ** *** "some **** ****** ******* ** *** industry ***** ***."
************ ** *&* ********** ****** ********, Mack **** **** ** ****** ** the ********* ********** ******* *** **** cost ** **** ***** **** *** industry *** "******* ******" ** ******* such ****** **********:
******** *&* ********* ********** *** **** strong ******** ** *** ********** *******; it ***** **** ** ******** **** ours *** ******* ****** *** *** all ***** ********* ******. ** ** going ** ******* *******; ** ** going ** ******* ********** *** *&* activities.
**** **** ********** ******* ** ********, which ********* *** ********* *********** ** many ******* ******** ** *** ******** security ********, ********* ***** **** ************, Prop **** *** ******** ************, ****** safety *** ******** **********, ******** ********, access ******* & *********, *** ****:
*******, **** ******* *** ******* ******/********* the ******** ******** ** ******* **, including * ****** *** ******, **************** transitions ** *** *****, ******** **********'* intersection **** ********, ** **** ** the ******* ***** ******* ****** ****** and ******* ********:
*** ******** *** *** * ***** strong ******** ******* *** **** ****** growth ** *** *** ******. ** particular **** *** ******* ******** ******.
*** ******** ** *** ***** ** going ** ** * **************** ***** to **** ******** *** *** **** five ** ** *****, ******* * lot ** **********.
*** ************ ** ******** *** ******-******** changes ** *** ****** *********. ***** were ****** ************** ******* ***** ** in *** *********** ******* ****** ****** and ******* ********.
*******, **** **** ** ******** **** the ******* **** *** **** **** a "**** *******," ***** ** ********* in ******** ********** ********** ** *******, including ***** ********* *** ******** ********:
** *** ******, ** *******, * think **'** ****** * **** ******* for *** **** ** *** *******.
****** *** ******* **** ** *** cost ** **** *******, *** ***** you'll *** ** **** **** * little ***. **'** *** *** **** with *** ******* ******* ****.
*******
** **** ** *********** ** *** how **** **** ******* ****** ******* in ******** ******** ** *** *********** over *** **** ****** **** ************* concentrated *********** ** ** ************ ******* number ** ****-***********. ** **********, ** are ******* ** *** **** ***** those ****-*********** ****, ** **** *** now ******** $*+ *******, ******************* *** ******** ***** * ****** publicly ****** ****** *** ****** ** *************** $** ******* ****** *****.