Fidelity ADT aims for growth

1 March 2017 Editor's Choice, News, Security Services & Risk Management

Fidelity Security Group has announced the financial conclusion of its acquisition of ADT South Africa from Tyco for R2 billion. The new entity, to be known as Fidelity ADT, will provide an end-to-end integrated security solution for customers across the commercial, public sector and residential markets.

This follows regulatory approval of the merger by the Competition Tribunal on 8 March 2017. The transaction encompasses all of ADT South Africa’s residential and commercial services and operations and the ADT Kusela guarding business.

“We are exceptionally proud to announce the conclusion of this transaction and the formal establishment of Fidelity ADT. The merger brings together two strong teams with deep industry knowledge and experience, and positions Fidelity ADT as the leading provider of both residential and commercial integrated security solutions in southern Africa,” says Wahl Bartmann, Fidelity Security Group’s CEO.

Following the acquisition, Fidelity ADT is a 100% South African, 54.62% black owned company and BBBEE Level One Contributor. It has 168 points of presence across Southern Africa, supports around 57 000 employees, and manages a fleet of 4574 vehicles.

Bartmann says the timing of the transaction bodes well for the future of Fidelity ADT and expands the scale and scope of services it can offer customers. “This week we celebrated Fidelity’s 60th birthday. If you add ADT’s armed response expertise and footprint in the residential market, as well as its security technology solutions, to Fidelity’s extensive capabilities in the guarding, cash solutions and integrated armed response sectors, you have a security firm perfectly aligned for future growth in the southern African market.”

Bartmann says there are obvious benefits for the customers of both companies. Fidelity brings the capacity to provide ADT’s 365 000 residential, small-to-medium sized enterprises and larger commercial customers, with a more integrated, proactive and robust security and guarding service in a localised community driven environment.

“Where many security companies only respond to crime incidents, Fidelity works to proactively mitigate crime in the communities in which it operates, and that is a very strong proposition for customers. Fidelity’s airborne helicopter support unit, as well as its canine unit, will provide extra levels of support to our teams while in the field, and allow for the provision of services in higher risk areas.”

Similarly, ADT provides Fidelity’s customers with access to security technology solutions, such as central monitoring services, video surveillance and dispatch, and access control. It also allows for the expansion of ADT’s fire detection and suppression solutions, an area of specialisation and technical expertise at the firm.

Through the acquisition, Fidelity ADT will act as an exclusive local distributor for Tyco’s residential and commercial security products and specialised performance solutions for retail businesses, including the electronic article surveillance Sensormatic range of products.

Bartmann says Fidelity ADT is also good news for employees. “The company’s expanded offering and footprint will offer new career development and training opportunities to our 57 000 staff. We are confident that the merged team will soon feel part of a single Fidelity ADT family. We have a very experienced management team, who are well equipped to manage the integration quickly and efficiently.”



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