Safeguard acquires Systemsgroup
HOUSTON----Holding company Safeguard Security Holdings announced the acquisition of Systemsgroup this month, a $7-million per year systems integrator that also provides guard services, and said it is close to completing a deal that would be almost double in size.
Based in Dallas, Systemsgroup provides both systems integration and guards. Its clients include Fortune 100 companies such as TXU, and large regional museums. Full financial terms of the deal, which was completed on July 18, were not disclosed.
Michael Lagow will remain president of Systemsgroup and will become a member of Safeguard's board of directors. "I will still provide vision and direction for the company at that level," he said.
In June, Security Systems News reported Safeguard's plans to acquire an East Coast security guard company with more than $13 million in annual revenue by the end of June. That deal is pending, said Brown Glenn, chief executive officer of Safeguard.
Lagow said one reason Safeguard was drawn to Systemsgroup is because of its success in attracting large end users looking for integrated security systems--a company that will supply both the staff and the electronic systems.
Bob Doguim, president of Safeguard, echoed Lagow's comments that the ability to provide the people and electronic systems is extremely important to Safeguard and its customers. "It gives our clients the opportunity to one-stop shop. There are companies that provide guards, but there are very few shops that offer both," he said.
This is the second acquisition for Safeguard since it entered the guard market in November 2004. The first was the purchase of Superior Protection, a $23-million per year company with clients in Texas, Florida, Pennsylvania and Hawaii.
Safeguard has offices in Houston, Dallas and Atlanta. It offers electronic security systems, maintenance, technical support services, as well as security personnel.