With $21 million in new capital provided by RBC Centura Bank and a private equity sponsor, Charlotte, N.C.-based video monitoring firm is expanding via acquisition. The company announced that it has purchased the Smart Interactive Systems business of Magal Security Systems for $8.5 million.
iVerify's interactive video monitoring operations can perform remote guard tours and alarm verification as well as audio monitoring for client premises. The company's services have been used primarily by large, national retailers, financial and banking institutions and some public utilities. The monitoring station for iVerify is based in Charlotte.
Like iVerify, the Magal unit provided video monitoring, and was founded in 2001 by the Israeli firm to offer remote video tours and alarm verification. The remote nature of monitoring allows for effective police dispatches and real-time interventions on the scene by way of audio announcements.
Smart Interactive Systems was formed under Magal in 2001 to capitalize on the rapid advances in technology to overcome two of the security industryâ€™s most severe and chronic problems: poor guard performance, and high false alarm rates.
Remote video and controlled intervention have had a tremendous impact on criminal activity. Live intervention, voice announcements and police dispatches have created safer, more secure environments and produced a reduction in losses from robbery, larceny, burglary and internal theft.
In a statement announcing the acquisition, Mike May, president and CEO of iVerify, credited the work that Magal had done in creating the Smart Interactive Systems business unit.
"Magal did an outstanding job of building a high quality video monitoring operation at Smart, delivering services that are closely aligned with iVerify's offerings in similar industry segments," he said. "The integration of the Smart and iVerify operations delivers scale and efficiency to iVerify which results in continued improvements to the bottom line."
May added that the company's plans for growth do not rely solely on acquisition of competitors, but said that the company was committed to organic growth.