Generational Equity Advises Diversified Systems in its Sale to Newlook Capital

By Generational Equity

10/15/2021

Generational Equity, a leading mergers and acquisitions advisor for privately held businesses, is pleased to announce the sale of its client, Diversified Systems, Inc., to Integrated Fire & Security Solutions and the existing management of the company. The acquisition closed September 30, 2021.

Founded in 1990, Diversified Systems, Inc. (Diversified) is a North Carolina based security systems integrator, specializing in design, consultation, installation, and service of access control systems, closed-circuit television/digital video recording, fire and life safety systems, vehicle control, and high-security locks. Turnkey security services include assessment and design, engineering, installation, maintenance, and support. Diversified is located in Knightdale, North Carolina.

Integrated Fire & Security Solutions (IFSS), headquartered in Fort Myers, Florida, provides fire protection and access control / high-security systems throughout Florida from their five locations. IFSS’ services range from comprehensive building fire and security systems to specialized integrated fire and security solutions for K-12 & higher education, airports & seaports, government & municipalities, and additional commercial verticals. These systems can include the full array of electronic fire protection systems, card readers, biometric devices, door hardening & electronics, paging & intercom systems, duress & intrusion detection, vehicle or man gates, wireless interface, video badging stations, and video surveillance systems.

“Diversified is an excellent opportunity for IFSS to expand its services in the Carolinas and Virginia and to team up with very experienced management to continue to grow and expand the business,” said Justin Peterson, president of IFSS. He added: “I am extremely happy to welcome John Sartori and his team at Diversified to the IFSS family. We are pleased to be partnering with John in continuing to grow and develop Diversified’s business footprint and products and services offering.”

The acquisition of Diversified by IFSS and Sartori was structured by Newlook Capital (Newlook), located in Burlington, Ontario. Newlook specializes in making equity investments and providing growth capital to industrial services companies in the US and Canada and made a significant investment in IFSS in 2019.

Newlook is actively involved in all its investments. Through operating their own business ventures, Newlook partners have gained years of experience and expertise that translates into strong transactional and operational proficiency. Newlook also believes that a recurring revenue model and a strong client base are characteristics that lead to quality, value-added acquisitions. The acquisition of Diversified is the sixth Generational Equity client that Newlook has invested in.

Generational Equity Executive Managing Director, M&A-Technology Practice Leader, David Fergusson, and his team, led by Managing Director, Mergers and Acquisitions, Jack Sluiter, with the support of Vice President, M&A, Tristan Keeffe, successfully closed the deal. Senior Managing Director Brian Hendershot established the initial relationship with Diversified.

“The deal really could not have gone better. The IFSS and Newlook Capital team were very professional and transparent throughout the process, which gave our clients at Diversified a much-needed level of comfort,” said Sluiter. “Diversified is a great addition to IFSS and Newlook’s portfolio of industrial service companies.”