Intelligent Monitoring Group (ASX:IMB) Announces Acquisition of KOBE Pty Ltd
Acquisition Details
Intelligent Monitoring Group Limited (IMG) has entered into a binding sale and purchase agreement to acquire all shares of KOBE Pty Ltd for an initial $6.98 million cash, with a second deferred tranche of $1.92 million based on KOBE’s EBITDA for the financial year ending 30 June 2026. Subject to customary conditions, the acquisition is expected to be completed this quarter.
Financial Impact
The Acquisition is immediately EPS accretive and anticipated to generate FY25 proforma EBITDA of approximately $2.5 million, representing an EV/EBITDA multiple of 3.5x.
Strategic Expansion
The acquisition will expand IMG’s operating footprint in Queensland through its subsidiary, ADT Security Group Pty Ltd, enhancing its national platform in the Commercial and enterprise sectors.
Executive Comments
Managing Director Dennison Hambling said, “This acquisition represents yet another step in IMG’s strategy, through ADT, to continue to build a complete network of security technicians across Australia and New Zealand to support our enterprise and commercial customers.
“Having already lifted ADT’s commercial business from $2m revenue, in the year prior to IMG’s acquisition of ADT, to a run rate of $12m organically in the first 11 months of ownership, the addition of the ACG, AAG & DVL businesses now see ADT’s Australian commercial business turning over more than $55m on an annualised basis at the end of December 2024. The addition of these quality businesses, customers, and people has contributed further to help unlock ADT’s commercial business as it seeks to return to its historical levels of $125m annual revenue and beyond.
“IMG is guiding for adjusted EBITDA to be at or above $38m for FY25 (before any contribution from the recent acquisitions). KOBE is expected to contribute additional EBITDA of $2.5m on a pro-forma basis.”
Motley Fool contributor Lauren Surplice has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Intelligent Monitoring Group. The Motley Fool Australia has recommended Intelligent Monitoring Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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