AAA Alarm Systems Ltd., a wholly owned subsidiary of Manitoba Telecom Services Inc. (MTS), and SecurTek have agreed to swap accounts as part of a joint agreement. SecurTek, a SaskTel subsidiary, provides commercial and residential security monitoring service to customers across Canada.
AAA Alarms will acquire SecurTek’s Manitoba, Canada, customer accounts as well as a $1.5 million cash payment from SecurTek. In exchange, AAA Alarm will hand over its accounts outside of Manitoba, which are predominantly located in Alberta.
The transaction is expected to enhance the strategic positioning of MTS’ alarm services in its home market, according to MTS president, consumer markets division, Kelvin Shepherd. The deal will reinforce AAA Alarm’s market exposure and present future opportunities for expansions in its home security services.
The agreement will allow SecurTek to focus on geographic growth in its target markets of Saskatchewan, Ontario, British Columbia, and Alberta, says Robert Watson, SaskTel president and CEO.
“SecurTek is well positioned to thrive in the monitoring industry’s competitive market and we look forward to providing reliable and affordable security monitoring solutions to even more homes in Alberta with this acquisition,” Watson says.
SecurTek and AAA Alarms will honor existing contracts, and SecurTek’s Winnipeg-based monitoring station will continue to provide redundancy for its existing monitoring services.