SK Telecom has partnered with Macquarie to fully acquire domestic security service firm ADT Caps for 1.276 trillion won ($1.18 billion), the South Korean mobile giant announced.
SK Telecom will buy 55% stake in Siren Holdings Korea, the company that holds 100% stake in ADT Caps, for 702 billion won ($650.7 million), while Macquarie will buy 45% stake for 574 billion won ($532 million).
The pair plans to sign a deal with seller Carlyle Group and complete the transaction as early as in the third quarter of this year, SK Telecom said in a statement.
Through the acquisition, SK Telecom aims to build new business models by introducing technologies such as AI, IoT and big data to the country’s fast-growing security services industry and turns ADT Caps into “a next-generation security services provider” with these technologies.
ADT Caps is the country’s second-largest security services provider with 570,000 subscribers. The company mainly provides physical security services, including access control and facilities management, and accounts for roughly 30% of the local physical security services market.
In 2017, ADT Caps recorded revenue of 721.7 billion won and operating income of 143.5 billion won.
