Westec InterActive acquires Digital Witness
DALLAS--Westec InterActive, a remote video monitoring company based here, announced on Nov. 13 the acquisition of Digital Witness, a provider of video monitoring solutions and services, with locations in Dallas and Des Moines, Iowa. Terms of the agreement were not released.
Westec's chief executive officer and chairman, Gerald Vento, said Westec spent the last eight months looking into and understanding Digital Witness's business before deciding to acquire it.
"Usually when we do acquisitions we have to take things apart and put them back together," said Vento. "This is one of the few times that we felt it was a hand-in-glove fit and we didn't have to take anything apart.
"Digital Witness is a subscription-based revenue model. It's a rapidly growing business focused on customers that we don't get to, so there's no overlap, but at the same time they're focused on customers that we have a lot of experience with," said Vento. "So where Westec has a direct sales channel and we sell to corporate and national accounts, Digital Witness is taking up where we left off and they're going after small entrepreneurs in the same verticals."
Digital Witness's president and chief executive officer, Kelby Hagar, agrees that the synergies between the two companies will help with ease of integration, but will also lead to further profitability and customer benefits.
"Digital Witness and Westec together cover an entire spectrum of the industry," Hagar said. "We each work our own vertical spaces and Westec tends to be at the larger, higher corporate end of that vertical and we tend to be at the smaller, independently owned section of the vertical. When you combine those two together it creates a tremendous opportunity to cross-sell among customers ... and gives us the ability to mesh the two selling capabilities together."
Combined, the two companies will monitor approximately 6,000 commercial sites and although the companies intend to integrate together, "for now, their sales forces will remain separate from our sales force," said Vento of Westec.
Also, the two brand names will remain distinct, said Hagar from Digital Witness. "The intention is to do some integration together, but leave the two brand names because both have good brand equity."