Melrose Industries to Divest Nortek Control for $285M
A source confirmed to SSI a deal for Nortek Control has been reached; however, the name of the purchaser has not been officially announced.
Nortek Control is headquartered in Carlsbad, Calif. (facebook.com/nortekcontrol/)
CARLSBAD, Calif. — The British firm Melrose Industries has reached an agreement to divest Nortek Control for $285 million. A source with knowledge of the transaction who confirmed a deal was consummated declined to disclose the name of the purchaser.
Nortek Control is a leading developer and manufacturer of security, home automation, access control, health and artificial intelligence (AI) technologies for the residential and commercial markets, principally in North America. The company markets more than a dozen brands, including 2GIG, Elan, Linear, Mighty Mule, Numera and Intellivsion.
Similar to a private equity firm, Melrose buys industrial companies and seeks to improve the way they are run before selling them. In 2016, the company purchased Nortek, an underperforming mini-conglomerate, for $2.8 billion. In April, the firm sold Nortek Air Management, a sister company to Nortek Control, to Madison Industries for $3.6 billion.
Nortek Control, which rebranded in 2020, announced the release of the 2GIG EDGE Security and Automation Panel with AI and edge analytics in March. The new panel for the pro-install security market is said to deliver the industry’s first secure face recognition touchless disarm. Engineered using edge analytics and with technology built into the panel ensures homeowner’s biometric data stays secure by saving it only on the panel.
That major launch was followed in August with Nortek Control and Alarm.com announcing the 2GIG New Home Program, a collaboration that combines the family of 2GIG security and home automation products with the smart home platform from Alarm.com. Along with a complete ecosystem of smart home products, the new program supports builders with a wide range of tools such as community management, design center collaboration, and sales and marketing assets.
Nortek Control has design centers and manufacturing plants throughout the U.S., Mexico, Asia and Europe, and produces products for millions of global customers. The history of the company includes several acquisitions over the years. View a timeline of the company here.
SSI continues to report this story.
If you enjoyed this article and want to receive more valuable industry content like this, click here to sign up for our FREE digital newsletters!
About the Author
Rodney Bosch, Senior Editor
Although Bosch’s name is quite familiar to those in the security industry, his previous experience has been in daily newspaper journalism. Prior to joining SECURITY SALES & INTEGRATION in 2006, he spent 15 years with the Los Angeles Times, where he performed a wide assortment of editorial responsibilities, including feature and metro department assignments as well as content producing for latimes.com. Bosch is a graduate of California State University, Fresno with a degree in Mass Communication & Journalism. In 2007, he successfully completed the National Burglar and Fire Alarm Association’s National Training School coursework to become a Certified Level I Alarm Technician.
Related Content
Security Is Our Business, Too
For professionals who recommend, buy and install all types of electronic security equipment, a free subscription to Commercial Integrator + Security Sales & Integration is like having a consultant on call. You’ll find an ideal balance of technology and business coverage, with installation tips and techniques for products and updates on how to add to your bottom line.
A FREE subscription to the top resource for security and integration industry will prove to be invaluable.
