Cbord goes to head of the class with purchase
NORTH CANTON, Ohio--Looking to sharpen its approach within the security market, systems integrator Diebold sold its campus card and housing management systems division to the Cbord Group for approximately $38 million.
Diebold's decision to shed the division is a move to help the company concentrate on international expansion and other segments of the security industry, including financial, government, retail and commercial markets.
"Moving forward, the way we see our security segment is going with recent acquisitions," commented Michael Jacobson, director of global communications. "We think it is important to focus on providing services to those markets as best as possible."
The former division of Diebold provides card systems for access control, electronic payments and related identification uses. Last year, the unit reported approximately $24 million in revenue. Diebold's overall revenue was $2.4 billion in 2004 and its security segment accounted for $594 million last year.
Cbord gains a stronger foothold in the higher education space as a result of the deal. Based in Ithaca, N.Y., Cbord supplies campus card, housing and food service management systems for the college and university market.
The unit employs 140 people, all of whom will be offered jobs by Cbord.
In another move that shows the company's focus on its security division, Diebold broadened its reach in the Asian and European markets this year though the acquisition of TASC Security. Similarly, the company folded in one of northern Mexico's systems integrators, Alarmas Adler, in 2005.
Diebold entered the integrated campus access management space in 1993. Two years later, it purchased Farmington, N.Y.-based Griffin Technology, which buoyed the company's position in the marketplace and served as the foundation of campus access business. Griffin reported revenues of $17.9 million for its 1995 fiscal year and increased Diebold's total installations to approximately 300.