SAFE Security announced on Wednesday that it has acquired Safeguard Security and Communications, Inc. based in Scottsdale, Ariz., representing approximately $1.5 MM of RMR and 25,000 customers.
According to Paul Sargenti, president and CEO of SAFE Security, although the company already has a national footprint with operations in all 50 states, the addition of Safeguard will really bolster their footprint in the Arizona by doubling their customer base in the market.
“Part of our business model is to look for exciting, growing platforms and Safeguard has been around for a longtime, but they still have a fresh outlook from the standpoint of growth and customer management,” Sargenti told SIW. “We found Safeguard to be a very attractive acquisition because it is probably one of the top three super-regional (alarm dealers) in the country. We like their growth model and their customer experience disciplines match up very well with our own, so it was a natural fit for us.”
Another factor that made this acquisition appealing to SAFE was the synergies that exist between the two companies.
“When we looked at this acquisition, we decided to be very, very even-handed in how we wanted to look at the functionality of each department at Safeguard and at SAFE Security,” said Sargenti. “There is going to be some movement of functions that are currently being performed at SAFE Security over to Safeguard and vice versa.”
“When I decided to sell Safeguard Security and begin a new chapter for me and my family, it was crucial to pick the right buyer. Honestly, there was only one choice I thought would be the right match for continuing the tradition of excellence I’ve worked so hard to establish,” Safeguard Security CEO John Jennings said in a statement. “Paul Sargenti and SAFE Security are known for fair dealing and common sense when it comes to mergers and acquisitions. I wanted the buyer for my company to appreciate what I’ve accomplished, as well as a buyer with a culture that would respect the people who helped me build Safeguard. I’m confident that together SAFE and Safeguard will continue to serve the Arizona market with distinction and quality.”
Additionally, Sargenti said that SAFE will be moving its do-it-yourself business, as well as a lot of their national customer retention operations to Arizona as a result of this acquisition. “What’s happened with Safeguard in this (acquisition) by SAFE is that they’re reach has gone national in terms customer retention and new products,” Sargenti said.
Sargenti said that SAFE personnel have been in Phoenix since the deal was announced on Wednesday conducting employee orientations and meeting with the existing leadership team, which will be retained. Safeguard will be retaining its large commercial construction business, as well as their QuickPass business for gated communities.
