Private equity firm buys Ackerman Security

In its first security industry investment, Toronto PE goes for super-regional Amy Canfield Wednesday, April 1, 2015

TORONTO—Imperial Capital Group of Toronto has acquired super-regional Ackerman Security.

“We’re taking over,” Ed Truant, an Imperial Capital partner who worked on the deal, told Security Systems News. “The existing set of shareholders had been in place for 10 years. It was time for them to liquidate, so we stepped in.”

The transaction amount was not disclosed.

Ackerman, based in Atlanta and founded in 1976, had an RMR of $2.6 million and gross revenues of $45.5 million in 2013, according to published reports. The vast majority of its accounts are residential. On of the 25 largest security companies in the United States, it has more than 300 employees and operates in the Metro Atlanta area and in Washington D.C.

Jim Callahan, president of Ackerman, could not be reached for comment. In a prepared statement he said the deal will enable the company to build on the “tremendous success” it has had over the past decade.

"Our business is driven by a unique combination of technology and human infrastructure. There is continual innovation in security monitoring and home-control devices, and our commitment to offering the fastest and most reliable support possible is based upon our having both superior technology and great people," he said in the statement.

Callahan will continue to lead the company. “Nothing will change from a management perspective,” Truant said.

As managing owner, Imperial Capital will make additional funds available to Ackerman “if they want to grow the business. We’ll fund strategic initiatives,” Truant said.

Imperial Capital partnered with OPTrust on the deal. OPTrust, also based in Toronto, often partners with other private equity firms, Truant said.

Imperial Capital specializes in niche industries. The Ackerman acquisition is its first investment in the security sector, Truant said, but possibly not its last.

“We will definitely continue to look at this sector. It has great characteristics, it’s recession-resistant and home automation” is fueling its growth, he said. “We like the sector a lot.”

The Edmonds Group, which specializes in the security industry, was the exclusive financial adviser to Imperial Capital and OPTrust.

Check here later for an interview with Callahan. 

Topic:  Residential Tags:  Imperial Capital Group, Ackerman Security, Ed Truant, Jim Callahan, The Edmonds Group
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