Infrastruct merges with Dowley Security
HOUSTON--Infrastruct Security, a full-service security firm specializing in the regulated security market, has merged with Dowley Security, an Oklahoma-based integrator working in the petrochemical, gaming and banking markets. The deal, finalized May 31, was funded with $3 million in Series B funding contributed by Murphree Venture Partners, Stonehendge Capital, Jeminson Investment and Louisiana Fund 2, the same consortium that supplied Infrastruct with $4 million in funding at this time last year.
This move, said Infrastruct president and chief executive officer Daniel Weiss, makes Infrastruct the "dominant provider" in what he calls the "petrochemical triangle" of Oklahoma, Texas and Louisiana. "And it's not by accident," he said. "That's what we were funded to do. Our bets played out." The company grew out of General Cabling and Security and the Series A funding was predicated on Weiss's pitch that the federal government's involvement in private security installations, such as the chemical plant security legislation passed late last year, would create a new regulated security market that integrators could capitalize on, providing everything from risk assessments to video monitoring.
Infrastruct has grown its revenues through acquisitions of Monarch Security and the accounts of Kimmons Security Services in late 2006, but Weiss said Dowley represents a different kind of addition. "We've made some other acquisitions, asset purchases to gain accounts," Weiss said. "That's not what this is." Hence, they're calling the deal a merger and not an acquisition and all of the Dowley staff will remain with Infrastruct.
Dowley president Jerick Henley will take on the title of president of the western region, comprising offices in Phoenix, Ariz., and Tulsa and Oklahoma City, Okla. "I needed a fellow entrepreneur to run the region," Weiss said of Henley, praising him for building Dowley from scratch into an integrator that had "tapped out the market" in Oklahoma.
Infrastruct also has headquarters here and will soon open an office in Baton Rouge, La. Weiss expects Infrastruct's recently completed command center to gain UL listing before the end of June and, with Dowley's help, expects to tackle the banking and water verticals in the near future.