A majority of security system professionals (68%) expect to complete at least one acquisition within the next year, according to a Capital One survey.
The survey also found that 16% expect to complete at least three acquisitions.
RELATED: Securitas Purchases Diebold Unit for $350M
Capital One conducted the survey at the Honeywell Connect 2015 conference in Scottsdale, Ariz. Security system dealers and integrators — as well as other professionals — participated in the survey.
The heightened interest in merger and acquisitions (M&A) is a result of respondents’ optimism about the security industry; 85% expect better financial performance next year.
“The increased availability of capital and the entry of sophisticated investors make this an attractive buyers’ market for security companies,” said John Robuck, managing director, Capital One Commercial Banking. “However, leveraging M&A requires working with the right financing partner who understands the industry, and can ensure any transaction is priced and structured correctly to enable future growth.”
More than 80% of respondents expect that financing to support growth will be most important in the coming year.
