Frontpoint Security Sells Controlling Interest to Investment Firm
Frontpoint says the investment will help the DIY security and home automation provider expand business through organic growth and strategic acquisitions.
VIENNA, Va. — Frontpoint Security, a provider of DIY home security and smart home technology, recently announced that Twin Point Capital has purchased a controlling interest in the company.
Founded in 2007, Frontpoint provides home security, life safety and smart home automation products and services to customers across the United States.
Frontpoint says its advanced technology platform offers families superior protection and control through fully integrated software on Frontpoint’s proprietary app.
“We couldn’t be more excited to partner with Twin Point Capital. The Twin Point team has a long history of successfully helping management teams achieve their goals by providing both investment capital and strategic guidance,” says Syed K. Zaidi, CEO of Frontpoint. “This investment will enable Frontpoint to provide even higher levels of reliability, technological innovation and outstanding customer service. We are confident that this new partnership will be highly beneficial to the families that trust Frontpoint to protect what is most important to them.”
Jonathan Friesel, managing partner at Twin Point, adds, “We are excited to work closely with Syed and the entire Frontpoint management team. Frontpoint has a passion for serving the customer and is committed to providing the best products and services to protect families and their homes and enjoy better lives through the company’s smart home technology.”
This deal continues the trend we’ve seen in recent years of private equity firms investing in the security industry. Since 2019, we’ve seen PE firms acquire stakes in notable companies such as Winsted Corp., Panasonic and Avantguard Monitoring Centers.
In the DIY security realm, SimpliSafe sold a controlling interest to PE firm Hellman & Friedman in 2018. The deal was valued at $1 billion.
Global distributor Anixter Int’l was all set to be acquired by PE firm Clayton, Dubilier & Rice in an all cash transaction valued at approximately $3.8 billion last fall, but after nearly a year of going back and forth, was eventually outbid by fellow distributor Wesco Int’l.
Between PE firms and tech giants like Google and Amazon, it seems like security companies are getting snapped up left and right. So the question is, who’s next?
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