Security group Fidelity on Thursday announced the final acquisition of competitor ADT, for approximately R1.9 billion ($140 million), with the new firm to be named Fidelity ADT. This was after the Competition Tribunal provided regulatory approval on March 8.
This marks the first foreign sale of security ownership since the proposed bill that security companies in South Africa have at least 51 per cent ownership. ADT, which was owned by New York-listed Tyco, was one of the big four multi-national security firms in South Africa.
ADT provides central monitoring services including video surveillance and dispatch, armed response, access control and other security-related services to more than 365,000 residential, small-to-medium sized enterprises and larger commercial customers.
It also provides centralised security monitoring services, including the dispatch of armed response guards, fire detection and protection, access control as well as other security-related services, through a nationwide network that includes 26 branch locations and about 9,700 employees.
According to Fidelity CEO Wahl Bartmann the merger brings together two strong teams with deep industry knowledge and experience and should allow Fidelity ADT to become the leading provider of both residential and commercial and integrated security solutions in southern Africa.
Bartmann said the public could expect dual branding and that the management team would oversee the integration, with the branding process to be completed within 60 days.
Fidelity traditionally specialising in guarding and cash security would with the merger expand the scope of its services, integrating ADT’s specialty covering residential armed response and security technology services.
The expanded Fidelity group will have more than 168 points of presence across Southern Africa and support around 57,000 employees.