ADT’s impending acquisition by Thrive Holdings to give the security provider greater flexibility to invest in its people and develop new products and services.
Security provider ADT and permanent capital holding company Thrive Holdings has announced a definitive agreement under which Thrive Holdings will acquire ADT in an all-cash transaction. The agreement values ADT at approximately $7.6 billion in equity value and $15.3 billion in enterprise value.
Under the terms of the agreement, unanimously approved by ADT’s Board of Directors, ADT stockholders will receive $10.00 per share in cash upon completion.
The transaction will combine ADT’s over 150 years of security experience, nationwide service network and customer relationships with Thrive Holdings’ long-term capital and engineering capabilities. The ownership structure is set to provide ADT with greater flexibility to invest in its people and the development of new products and services.
“We intend to build on that foundation by strengthening ADT’s technology and product capabilities, with the capital and patience to invest over decades.”
“ADT is pleased to enter into this transaction, which recognizes the value built by our more than 12,000 employees and delivers an attractive cash premium to our stockholders,” said Jim DeVries, Chairman, President and Chief Executive Officer of ADT.
“Our leadership in security is based on a legacy of trust, longstanding customer relationships and the dedication of our employees. With Thrive Holdings’ long-term capital and technology expertise, ADT will gain new opportunities to accelerate innovation, enhance the customer experience and bring greater peace of mind to even more homes and businesses.”
“ADT has spent generations showing up for people when it matters most,” said Kareem Zaki, Partner at Thrive Holdings. “We intend to build on that foundation by strengthening ADT’s technology and product capabilities, with the capital and patience to invest over decades. Our ambition is to help ADT’s teams better serve customers and offer a seamless service with more actionable information for the professionals responding.”
Currently, more than 75 businesses across accounting, IT services and the built environment are part of Thrive Holdings. Following the closing of the transaction, ADT will form the foundation of Thrive Holdings’ smart home security business.
Thrive Holdings has stated that it intends to support ADT’s management in pursuing long-term growth through continued investment in the Company’s people, products and services. Thrive Holdings’ engineering teams will work alongside ADT’s professionals to identify opportunities for technology to enhance the Company’s products and services and help its teams support customers more effectively.
For more information, view the media release.
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