United Technologies Corporation (UTC) has announced plans to acquire Lenel Systems International, a leading security systems and software developer. The purchase is subject to regulatory clearance.
The purchase price is approximately $400 million. The transaction is expected to close in the second quarter of 2005.
United Technologies is a diversified company that provides high technology products and services to the aerospace and commercial building industries worldwide.
Lenel develops and delivers scalable, integrated security software systems and business solutions targeted at the commercial and government security market. The privately held company employs approximately 150 people and has customers in 75 countries. It will report as an independent entity to Olivier Robert, president of UTC's fire and security business, Chubb.
Robert says the acquisition of Lenel will provide access to innovative technology and market development capability in the Homeland Security and other high-end integrated segments.
"Lenel has a large end-user customer base and a strong distribution network of value-added resellers (VARs) to deliver state-of-the-art integrated solutions," he says. "This is a highly effective market channel that will continue to serve Lenel well."
Elena Prokupets, president of Lenel, says, "We are impressed with the vision and strategy demonstrated by UTC, and we believe that as part of this organisation, Lenel will continue to deliver even greater value to our employees, customers and partners."
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