Business

ASSA ABLOY Expands with Strategic Acquisition of Nomadix and Global Reach

STOCKHOLM, March 27, 2024—ASSA ABLOY, the global pioneer in door opening solutions, has announced a significant expansion with the acquisition of American and British companies Nomadix and Global Reach. Both corporations are renowned for their groundbreaking Wi-Fi access and customer engagement platforms in the hospitality and commercial real estate sectors. These platforms encompass an array of hardware, software, and analytics tools that are designed to securely connect and engage with users and their devices over Wi-Fi networks.

A Welcoming Hand to Innovation

Nico Delvaux, President and CEO of ASSA ABLOY expressed his delight in integrating Nomadix and Global Reach into the corporation's framework. He stressed that this acquisition is not only an exciting technological advancement for ASSA ABLOY but will also strengthen their hospitality offerings and unlock new avenues for growth.

Deepening Technical Expertise and Portfolio Range

Highlighting the strategic essence of the acquisition, Stephanie Ordan, Executive Vice President and Head of Global Technologies business unit Global Solutions, pinpoints how Nomadix and Global Reach will augment ASSA ABLOY's product range. With their robust technical knowledge, these new additions are poised to enhance the company's solutions in the hospitality sector and other adjacent markets. Ordan also anticipates a fruitful collaboration with the skilled teams of both entities, ushering in a new era of success.

An Overview of the Acquired Entities

Having been established in 1998, Nomadix and Global Reach collectively employ around 120 staff members across major offices in Los Angeles and London. As individual companies under a single central management and ownership, their operations will now fall under the umbrella of Global Solutions business area Hospitality within ASSA ABLOY.

Financial Potentials and Acquisition Synergy

The financial forte of the acquisition is evident with Nomadix and Global Reach's combined sales amassing to approximately MUSD 30 (around MSEK 300) for the year 2023 and boasting a robust EBIT margin. The acquisition is intended to add to ASSA ABLOY's EPS from the start, marking a financially savvy move for the company.

The finalization of the acquisition is contingent on standard closing conditions, and its completion is expected during the second quarter of 2024.

Executive Insights and Contact Information

For those seeking more information regarding this strategic acquisition, the following contacts have been provided:

Nico Delvaux, President and CEO, can be reached at the telephone number +46 8 506 485 82. For financial details, Erik Pieder, CFO and Executive Vice President is available at +46 8 506 485 72. Additionally, for investor relations inquiries, Björn Tibell, Head of Investor Relations, is reachable at +46 70 275 67 68 or via email at [email protected]

About ASSA ABLOY

The ASSA ABLOY Group has firmly established itself as the worldwide leader in access solutions, having an expansive operational presence with 61,000 employees and sales reflecting SEK 141 billion. The company holds leading positions in efficient door opening systems, trusted identity verifications, and entry automation solutions. With a focus on innovation, ASSA ABLOY provides secure and convenient access to both physical and digital spaces, contributing daily to a world that's easier to access for billions of individuals.

Additional Information via Cision

This pressing news comes to you through Cision at http://news.cision.com. For direct details on ASSA ABLOY’s latest strategic step, visit their acquisition announcement at https://news.cision.com/assa-abloy/r/assa-abloy-acquires-nomadix-and-global-reach-in-the-usa-and-uk,c3953078.

Downloadable Files for the Press

ASSA ABLOY has made available for download several files including a press release in PDF format which can be accessed at https://mb.cision.com/Main/7333/3953078/2698920.pdf. Furthermore, the iconic ASSA ABLOY logo alongside an image of a door is available for media purposes at https://news.cision.com/assa-abloy/i/assa-abloy-logo-door,c3283638.

Unveiling a More Connected World

ASSA ABLOY's latest acquisition of Nomadix and Global Reach is more than just an expansion of its global dominance. It signifies a strategic move into the rapidly growing industry of connected devices and the Internet of Things (IoT). With an increased reliance on secure Wi-Fi networks and data analytics in both hospitality and commercial real estate, ASSA ABLOY positions itself as a key player in enhancing customer engagement and operational efficiency. The integration of Nomadix's and Global Reach's technology platforms into ASSA ABLOY's already diverse product offerings will pave the way for innovative access solutions tailored to a world that is progressively oriented towards digital and mobile experiences.

Technological Convergence in the Hospitality Sector

The implications of this acquisition extend to the very core of the hospitality business, where streamlined operations, guest experience, and security form the trifecta of successful hotel management. Nomadix and Global Reach's analytics tools, when combined with ASSA ABLOY's sophisticated access solutions, will offer hotel operators a cutting-edge means to engage with guests from check-in to check-out. It envisages a scenario where the door lock becomes the nexus for a suite of services that enhance the guest experience while providing hoteliers with valuable insights into preferences and behaviors.

Expanding Beyond Boundaries

While ASSA ABLOY has primarily been known for its locks, keys, and security systems, the acquisition signals a departure from strictly hardware to a more integrated service model encompassing software and analytics. With the rise of smart buildings and the increasing emphasis on data-driven decisions in real estate, ASSA ABLOY's venture into the interconnected Wi-Fi space is a proactive response to the evolving industry demands. Nomadix and Global Reach not only bring quality Wi-Fi engagement but also open up new customer bases in commercial real estate, a sector where digital connectivity is becoming a standard rather than a luxury.

Looking Ahead: ASSA ABLOY’s Strategic Vision

Delvaux’s vision for ASSA ABLOY encompasses a holistic approach to access solutions where the physical mechanics of opening and closing doors are just the starting point. The integration of these advanced Wi-Fi service providers is expected to elevate ASSA ABLOY's status from a manufacturer of physical access products to a complete solutions provider in the digital space, carving out opportunities in security, data analysis, and customer service. This acquisition is indeed symptomatic of ASSA ABLOY’s commitment to innovation and responsiveness to the rapidly changing landscapes of technology and customer needs.

Empowering a Connected Ecosystem

ASSA ABLOY's foray into Wi-Fi engagement platforms through the acquisitions of Nomadix and Global Reach expands the company's role in creating a connected ecosystem where every device can communicate seamlessly. This not only enhances user experience but also elevates security and operational efficiency. The company’s approach aligns with the growing industry trends towards intelligent systems and interconnected devices, marking its commitment to being at the forefront of technological advancement in the access solutions market.

Conclusion: Unlocking the Future of Access Solutions

The move to bring Nomadix and Global Reach under the ASSA ABLOY banner is both timely and strategic. In a world where digital innovation is paramount, ASSA ABLOY has positioned itself to unlock a future where access solutions are not only about entry and exit but also about connecting people to their environments in seamless, secure, and smart ways. With this fresh acquisition, ASSA ABLOY is set to open new doors to innovation and redefine what it means to provide global access solutions.

It is with great anticipation that industry observers, investors, and customers alike await the completion of this acquisition and the exciting possibilities that will unfold for ASSA ABLOY, Nomadix, Global Reach, and the global hospitality and commercial real estate industries at large.

The closing of the transaction is slated for the latter half of 2024, suggesting that the upcoming months could reveal further developments and insights into how this acquisition will shape the strategies and offerings of ASSA ABLOY. These are indeed exciting times for all stakeholders as we witness ASSA ABLOY's journey through expansion, technological integration, and industry leadership.

For more details and development on this news, including the aforementioned downloads, please visit https://news.cision.com/assa-abloy or reach out to the contacts provided for a comprehensive understanding of what this acquisition means for ASSA ABLOY and the future of access solutions in both the physical and digital realms.

In conclusion, ASSA ABLOY’s strategic acquisition marks a significant milestone, not only for the company itself but also for the evolution of access solutions on a global scale. As the company continues to break new ground and forge partnerships that enhance its offerings and capabilities, the access solutions industry is set to flourish with innovative and integrated technological advancements.