Intelligent Monitoring Group (ASX: IMB) has agreed to acquire Tyco New Zealand and Red Wolf Security in a deal that materially expands its fire protection and high-level security footprint across New Zealand.
The company expects the $NZ45 million (approximately A$39m) cash acquisition to significantly lift its recurring revenue base and strengthen its trans-Tasman platform, forecasting the transaction will be accretive from FY26 and support the group’s broader strategy to build scale in commercial and enterprise markets.
IMG will acquire all shares in BlueSky Holdco – the parent company of Tyco NZ and Red Wolf – from Johnson Control Luxembourg European Finance.
The purchase price will be subject to customary adjustments for working capital, cash and, debt positions at completion, which is not expected before March next year.
IMG will fund the transaction entirely from existing banking facilities and operating cash flow.
Strategic Fit In New Zealand
Tyco NZ is a long-established fire protection services provider with 12 branches, more than 300 staff, and a customer base built on high levels of recurring maintenance demand.
Red Wolf adds a complementary high-security capability with a strong Wellington presence across government, council, and commercial clients.
Together, the businesses expand IMG’s commercial reach and offer a platform to introduce its broader security solutions into the New Zealand market.
Managing director Dennison Hambling called the acquisition a “unique opportunity to materially enhance our commercial footprint in NZ, by way of a broad, significant, and historic leading service provider.”
Mr Hambling noted that the businesses have operated under the same international ownership as ADT and “will entail little disruption on a change of ownership,” adding that the purchase brings IMG “a very stable business with a strong recurring revenue base” that will enable it to introduce its leading security products more rapidly to commercial users.
Financial Contribution And Accretion
IMG anticipates the acquisition will generate FY26 revenue of NZ$89.5m (A$78.1m) and EBITDA of NZ$10.9m (A$10m) before any cost improvements.
Based on its AGM guidance, the group’s pro forma annualised revenue will rise to A$318m with EBITDA of A$53–57m following completion.
This supports a projected earnings per share uplift to 0.066–0.074c, representing an improvement of 24.6–28.3% against the bottom of the previously guided range.
IMG will draw down its NAB Acquisition Facility of A$35m, topping up the balance from operating cash flows to fund the purchase.
On a pro forma basis, gross debt is expected to rise to $120m with net debt of approximately $104m, with net debt to EBITDA remaining within the company’s preferred range at around 1.9x following the transaction.
Expanded Australasian Platform
With Tyco NZ and Red Wolf included, IMG’s network will exceed 217,000 monitored and serviced sites across Australasia contributing approximately $16m revenue per month.
IMG’s workforce will grow to more than 900 full-time employees, enabling deeper technical capability and enhanced delivery capacity in enterprise and commercial markets.
The acquisition strengthens IMG’s presence in high-value security and fire-protection markets and aligns directly with its strategy to increase recurring revenue and scale enterprise-grade services.
Management expects the enlarged platform will improve margin mix through higher-value monitoring and maintenance contracts, viewing the acquisition as a significant step in building a larger industrial business with sustained growth prospects across Australia and New Zealand.
