ADI to make Paris acquisition in the springtime

Thursday, March 2, 2006

MELVILLE, N.Y.--ADI took a giant step toward replicating its large North American footprint in Europe with the Feb. 27 agreement to acquire Paris, France-based distributor Gardiner Group Europe.
"We believe this is a very complementary acquisition based on geography, leadership and an enhanced portfolio," said Tom Polson, president of ADI.
Polson said ADI was looking for a "broader base in the U.K., in France and in the Nordic countries." Gardiner has 796 employees and currently distributes CCTV systems, fire alarms, intrusion alarms, access control, public address and integrated systems from 75 branch locations in 10 European countries.
In addition to increasing its geographic presence, Polson said ADI was drawn to Gardiner because of its "outstanding leadership" which Polson said is vital to "be successful in the many different cultures in Europe."
Gardiner will also "enhance ADI's portfolio in Europe" with some brands not currently carried by ADI.
Public discussion about any planned changes in structure or personnel must wait until the acquisition is finalized, Polson said.
Honeywell, ADI's parent company will make the acquisition--terms of which were not disclosed--from Electra Partners Europe, a private equity firm, following the European regulatory reviews. Polson said ADI has made applications to five countries--the Netherlands, Germany, United Kingdom, France and Norway. "We are quite confident we'll receive approval within five to eight weeks," Polson said.
In the meantime, Gardiner and ADI will operate both separately.
ADI, one of North America's largest security product wholesale distributors with 105 branch locations, first entered the European market in February 2005. It currently has operation in 12 European countries, as well as in Dubai, United Arab Emirates, South Africa, and in St. Petersburg, Russia. This year it will open three locations in India, Polson said.