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06/2015

SIMONSVOSS TECHNOLOGIES acquired by ALLEGION

GERMANY Hardware & Electronics / IT Equipment / IoT & Connected Objects EV €100–350M

Context

Private equity firm HgCapital has successfully completed the divestiture of SimonsVoss Technologies GmbH to Ireland-headquartered, NYSE-listed Allegion plc (NYSE: ALLE), a premier global provider of security products and solutions. Exclusively advised by investment bank Robert W. Baird and legal counsel Linklaters LLP, the financial sponsor officially exits a highly transformative holding period that began in 2010. The buyout has received all necessary regulatory clearances and was executed through Allegion's Luxembourg-based holding and financing subsidiary. For the strategic buyer, the acquisition is highly complementary, unlocking immediate synergy opportunities and explicitly solidifying its global leadership in the electro-mechanical conversion space. By absorbing SimonsVoss, Allegion significantly bolsters its technical expertise while gaining immediate access to a robust network of established channel partners across key international markets. Conversely, the target will leverage Allegion's massive $2 billion global scale—spanning 130 countries across both commercial and residential security segments—to aggressively drive demand creation and accelerate its next phase of corporate growth.

It is worth noting that the fund Hg Capital took control of Simonsvoss Technologies through an LBO in 2010.

SIMONSVOSS TECHNOLOGIES, which reported an EBITDA margin of [members only] in 2014, is valued in this transaction at an EV/EBITDA multiple of [members only], to compare with the average currently observed in the TMT (Tech, Media, Telecom) sector (14.7x).

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Target

Founded in 1995 and headquartered in Munich, SimonsVoss Technologies AG is a premier developer and technology leader in digital, radio-based locking and access control systems. Since introducing its flagship actively controlled electronic locking cylinder in 1998, the company has successfully installed over 750,000 units across a diverse, blue-chip corporate customer base. Supported by a manufacturing site in Petersburg and a dedicated global workforce of over 225 employees, the business demonstrates outstanding financial fundamentals. It currently generates over €37 million in top-line sales while maintaining an impressive compound annual growth rate (CAGR) of over 20% since the early 2000s.

Ent. Value

€100–350M

Equity Value

[members only]

Multiples

EV / Revenue

2x–6x

EV / EBITDA

[members only]

EV / EBIT

[members only]

Historical Financials (EUR)

Year
Rev
EBITDA
EBIT
2014
€50–100M
[members only]
[members only]
2013
€50–100M
[members only]
[members only]

Other operations with SIMONSVOSS TECHNOLOGIES

Other operations with SIMONSVOSS TECHNOLOGIES

List of similar M&A transactions (Date, Acquirer, Target, Country, Sub-sector)
DateAcquirerTargetCountrySector
05/2010HG CAPITALSIMONSVOSS TECHNOLOGIESGERMANYIoT & Connected Objects

REFERENCES

Valuation range: EV €100–350M

Revenue range: €50–100M

EV/Revenue range: 2x - 6x

Note: This page provides detailed data on a private equity M&A transaction. Detailed and exact financial metrics for the acquisition of SIMONSVOSS TECHNOLOGIES by ALLEGION are reserved for mynth community members. Register for free to unlock full data.

Authors: This transaction was contributed by a verified mynth contributor and cross-checked against available transaction documents and official company communications.

Target: simonsvoss technologies

Acquirer: allegion