Assa Abloy acquires SimonsVoss
STOCKHOLM--Assa Abloy signed in late January an agreement to acquire the German digital locking and access control specialist SimonsVoss, in a bid to expand its product portfolio and take advantage of opportunities for growth. The terms of the deal were not disclosed, but Assa Abloy said it would finance the buy through existing credit facilities.
"SimonsVoss has a very unique technology with digital locking and access control systems working mainly on wireless technology using a 25 MHz frequency, which is something we don't have," said Assa Abloy chief financial officer and executive vice president Tomas Eliasson. SimonsVoss, he said, is a "focused and successful company with a strong position and great potential for further growth internationally."
The deal will facilitate technology sharing between the two companies to the benefit of clients, including integrators and installers, Eliasson explained. In addition, SimonsVoss and its clients stand to gain in particular on the international market, "as Assa Abloy has a worldwide presence and very strong position in nearly all markets around the world," Eliasson said.
Assa Abloy will maintain the SimonsVoss name going forward, and the brand, product portfolio and organizational scheme will be maintained and further developed. "We don't intend to merge; we want to keep SimonsVoss focused and with dedicated resources," said Eliasson.
The current management team at SimonsVoss will be maintained as well, according to Eliasson. "We've found the existing management to be very strong and a main driver for the successful development of the company, so we will build on that."
Headquartered in Munich, Germany, SimonsVoss employs 225 people and expects to post revenues of more than $60 million in 2008.
The acquisition should be finalized during the first half of 2008.