PALM BEACH GARDENS, Fla.—UTC Climate, Controls & Security has completed its recently announced purchase of S2 Security, and will combine the newly acquired company with Lenel, creating LenelS2. Terms of the deal were not disclosed.
LenelS2 will provide scalable, customer solutions in the access control and security management systems industry, serving global enterprises to small- and mid-sized companies, the announcement said. The business is part of UTC Climate, Controls & Security, a unit of United Technologies Corp.
"LenelS2 unites two world-class teams with complementary strengths," Alex Housten, VP and GM, Fire & Security Products, UTC Climate, Controls & Security, said in the announcement. "Together, we have more than 50,000 systems installed worldwide. We look forward to providing enhanced service capabilities and offerings for our customers, and accelerating our access control and video-centric solutions for intelligent buildings across the globe."
Lenel president Jeff Stanek will lead the new organization and S2 Security founder and CEO John Moss will serve as chief product officer. The broader leadership team will consist of key members from each company, the announcement said.
"These are two leading brands that share a strong culture of innovation and commitment to customer service," Stanek said in a prepared statement. "Together, we will harness the power of our talented workforce to better serve the needs of customers and offer them more choices."
Moss said in the announcement, "The depth of Lenel's OnGuard platform and BlueDiamond™ mobile credentialing together with the breadth of S2's product ecosystem and channel, creates a new offering that is far greater than the sum of its parts."
Moss continued, "We will continue to advance the capabilities of all product lines, including NetBox and OnGuard."
Houlihan Lokey, global boutique investment bank focused on M+A and capital raising transactions, advised S2 on the transaction. The bank has a practice focused on the security industry and had developed a relationship with Moss, Michael Morabito, director at Houlihan Lokey, told Security Systems News.
“The sale process was robust with strong interest from a number of parties both domestic and foreign – the interest level from financial sponsors interested in deploying capital in the security industry was strong,” Morabito said.
He continued, “For Lenel/UTC, the new LenelS2 combination helps them to re-invigorate innovation within their organization, helps complement Lenel’s enterprise end-user base with S2’s strong SMB end-users/references, add world-class access control as well as video solutions.”
