Two of the biggest players in the custom integration and home automation space announced an agreement to merge. SnapAV, a leading manufacturer of A/V, surveillance, networking, and remote management products for integrators, and Control4, one of the leading home automation platforms, will combine their operations to create one of the strongest forces in the integration community.
In a statement, the two entities called the merger a combination of two “highly complementary” companies that will be able to leverage their increased resources to provide a “true one-stop shop” for integrators. The combined Control4-SnapAV brand will have a complete portfolio of smart home, control, and automation solutions that’s going to be tough to rival.
The way it’s spelled out, SnapAV will acquire Control4 in an all-cash transaction valued at around $680 million. Control4’s board of directors has already unanimously approved the deal and recommended that stockholders vote in favor of the transaction. The purchase price, according to the statement, represents a premium of around 40 percent over Control4’s closing price on May 8, 2019, the last trading day prior to this announcement. Private equity investment firm Hellman & Friedman, SnapAV’s majority shareholder since 2017, will invest additional equity as part of the transaction and become the majority shareholder of the combined company.