Central Security Group Adds $650K RMR With SecureNet Purchase
TULSA, Okla. — With the acquisition of SecureNet Alarm Systems, Central Security Group (CSG), a security alarm monitoring services provider based here, has added more than 22,000 accounts to its customer base, as well as $650,000 in recurring monthly revenue (RMR). Terms of the deal were not disclosed.
Founded in 1996, Wichita, Kan.-based SecureNet provides burglar, fire, interactive services, access control, video systems and monitoring. In addition to operating five branches in Wichita, Kan., Kansas City, Kan., Springfield, Mo., Colorado Springs, Colo., and Dayton, Ohio, the firm, which employs 130 people, also has a UL-Listed monitoring station that CSG acquired in the deal.
“Adding SecureNet to our portfolio is huge for CSG,” says Harry Schenk, CFO, CSG. “There are very few entities of this magnitude, let alone of this quality. To get both in one acquisition is a true win for all involved. SecureNet allows us to realize the cost advantages that come along with economies of scale.”
One of the things that made the transaction attractive to CSG is that it fits into the firm’s existing footprint in the Midwest, according to CSG Vice President of Dealer Development/Acquisitions Glenn Albers.
“We have acquired a number of customers in Kansas in the past but this deal really solidifies our foothold there,” he says. “SecureNet is a huge brand in Wichita as well as Oklahoma City, and we will look to leverage it further.”
The firm was also impressed by SecureNet’s high quality accounts that mapped closely with its own. When deciding to sell his company, SecureNet President Randy Rosiere knew he wanted a firm that would not only treat his customers well, but also take care of his hard-working employees. Because of his close relationship with Schenk and CSG CEO Mark Wilson, selling to the firm was a no-brainer.
“We always knew that when it was time to sell, we would be selling to CSG,” he says. “I know [Schenk and Wilson’s] characters, and I trusted that they would give me a fair deal. They did just that.”
This isn’t CSG’s first attempt to acquire the company. For years, CSG, which has more than 170,000 subscribers in the United States, tried to purchase the company; however, the timing wasn’t right, according to Wilson.
“We’ve been talking to Randy about this deal for years but there was always something that came up to stop it,” he says. “This time we made sure we could get it done, and done quickly. This deal is great for both sides and CSG is very pleased that it came to fruition.”
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