PERTH: Threat Protect Australia Limited has bolstered its security monitoring client base in both Western Australia and Queensland through the purchase of two existing client bases serviced by resellers of the Company’s monitoring business.
These client bases have a long history of service by the Company and also are predominantly users of wireless technology, both factors which fit with our desired acquisition profile.
The conversion of reseller serviced lines to direct lines delivers an additional uplift in revenue for no additional operating cost.
Securex, is a West Australian security company that was established in 2008 and has been a reseller client of the Company since 2008. Securex currently has 1,167 wireless monitored alarm customers.
Chris Jones Security Services, is a Queensland security company based out of Hervey Bay that was established in 2004 and has been a reseller client of the Company since 2006. Chris Jones currently has 509 monitored alarm customers.
Both Securex and Chris Jones Security Services will continue to provide maintenance services to the client bases. The aggregate cost of acquisitions is $1.9 million and will be funded by existing cash at bank following the recently completed equity raising.
This acquisition strategy continues to add value to the Company’s business, and the Company continues to identify other similar opportunities to further increase recurring revenue. Market updates will be provided as these proposed transactions progress.
Managing Director Demetrios Pynes commented, “The acquisition of existing Threat Protect reseller client bases is a core growth strategy of the business, resulting in the addition of recurring monitoring revenue for no additional operating cost.”