Schneider Electric acquired Zicom Electronic Security Systems assets of their electronic security systems integration business, namely the Building Solutions Group and the Special Projects Group. The business recorded revenues of approximate US$40.6 million in fiscal 2009 and has a headcount of about 200. The transaction excludes Zicom's other group companies, such as the retail business and Dubai-based joint-venture.
Zicom is the largest independent electronic security systems integrator in India. It has completed to date more than 1,000 projects in infrastructure (city surveillance, railways, airports etc.), government facilities, commercial buildings and high-end hotels where it enjoys strong market positions.
"By combining Schneider's complete solution offerings, including Pelco's video security offers, with the strong execution capabilities, deep market knowledge and impressive customer reach of Zicom, we expect to attain leadership in India for fully integrated building management systems. In parallel, we will keep serving with great dedication our system integrator partners in India,” said Chris Curtis, Executive VP at Buildings Business.
"This acquisition reaffirms our ambition in India and represents another major milestone after the robust development of the past years and the integration in 2009 of Conzerv Systems and Meher Capacitors, leaders in energy efficiency. Security and energy management are among India's top challenges and fastest growing markets. After the transaction, Schneider will be in an even stronger position to capture these opportunities with the support of its 8,000 employees," said Olivier Blum, Country President, Schneider Electric India.
The completion of the transaction, subject to conditions precedent and Zicom shareholders' approval, is expected to occur in April 2010. This acquisition meets Schneider Electric's Return on Capital Employed criteria.