Tyco (NYSE: TYC) has agreed to acquire Exacq Technologies, a developer of open architecture video management systems (VMS) for security and surveillance applications, for $150 million in cash.
Following the acquisition, Tyco intends to integrate Exacq into its Tyco Security Products business unit, a global provider of access control, video, location-based tracking and intrusion solutions. The acquisition is expected to complement Tyco Security Products' video technology portfolio, while strengthening its presence in the video security market.
A leader in VMS, Exacq offers intuitive platforms that scale from small single camera applications to large, integrated systems with thousands of cameras. The acquired business is expected to generate annualized revenues in fiscal 2014 of approximately $75 million. Headquartered in Indianapolis, Indiana, Exacq offers its products through a network of distributors, resellers and direct sales representatives.
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"The quality of Exacq's products coupled with ease of use and ease of installation help us address the needs of a very different type of video user than we do with our current portfolio," comments Mike Ryan, president of Tyco Security Products. "Meeting the varied requirements of the diverse video customer base provides us with a unique position in the security industry, and increases Tyco Security Products' leadership position in the video security business."
The transaction is expected to close later this year and is subject to customary closing conditions.