Acuity Announces Agreement to Acquire QSC, LLC
Acuity Brands (NYSE: AYI) has announced a definitive agreement to acquire QSC, for $1.215 billion, or $1.1 billion net of tax benefits. The acquisition targets QSC's cloud-manageable audio, video, and control platform business, which generated sales of approximately $535 million for the twelve months ending August 31, 2024. The net purchase price represents about 14 times QSC's estimated EBITDA. The transaction will be funded through $600 million in term loan financing and cash reserves, with closing expected in Q2 fiscal 2025. The deal is anticipated to be accretive to Acuity's fiscal 2025 full-year adjusted diluted earnings per share.
Acuity Brands (NYSE: AYI) ha annunciato un accordo definitivo per acquisire QSC per 1,215 miliardi di dollari, ovvero 1,1 miliardi di dollari al netto dei benefici fiscali. L'acquisizione mira al business della piattaforma audio, video e di controllo gestita tramite cloud di QSC, che ha generato vendite per circa 535 milioni di dollari nei dodici mesi terminanti il 31 agosto 2024. Il prezzo di acquisto netto rappresenta circa 14 volte l'EBITDA stimato di QSC. La transazione sarà finanziata tramite 600 milioni di dollari in prestiti a termine e riserve di cassa, con chiusura prevista nel secondo trimestre dell'esercizio fiscale 2025. Si prevede che l'affare sia accrescitivo per l'utile per azione diluito rettificato di Acuity per l'intero esercizio fiscale 2025.
Acuity Brands (NYSE: AYI) ha anunciado un acuerdo definitivo para adquirir QSC por 1,215 millones de dólares, o 1,1 mil millones de dólares netos de beneficios fiscales. La adquisición se centra en el negocio de la plataforma de audio, video y control gestionada en la nube de QSC, que generó ventas de aproximadamente 535 millones de dólares en los doce meses que terminaron el 31 de agosto de 2024. El precio de compra neto representa aproximadamente 14 veces el EBITDA estimado de QSC. La transacción se financiará a través de 600 millones de dólares en préstamos a plazo y reservas en efectivo, con un cierre previsto en el segundo trimestre del ejercicio fiscal 2025. Se anticipa que el acuerdo será accretivo para las ganancias por acción diluidas ajustadas de Acuity para todo el año fiscal 2025.
Acuity Brands (NYSE: AYI)는 QSC를 12억 1500만 달러에 인수하기로 한 확정 계약을 발표했습니다. 세금 혜택을 제외하면 11억 달러에 해당합니다. 이번 인수는 QSC의 클라우드 관리 오디오, 비디오 및 제어 플랫폼 비즈니스를 목표로 하며, 이는 2024년 8월 31일로 끝나는 12개월 동안 약 5억 3500만 달러의 매출을 기록했습니다. 순 인수가는 QSC의 추정 EBITDA의 약 14배에 해당합니다. 거래는 6억 달러의 기간 대출 금융과 현금 준비금으로 자금이 조달될 예정이며, 2025 회계연도 2분기에 마감될 것으로 예상됩니다. 이 거래는 Acuity의 2025 회계연도 전체 조정 후 주당 순이익에 긍정적인 영향을 미칠 것으로 예상됩니다.
Acuity Brands (NYSE: AYI) a annoncé un accord définitif pour acquérir QSC pour 1,215 milliard de dollars, soit 1,1 milliard de dollars net d'avantages fiscaux. L'acquisition vise le secteur de la plateforme audio, vidéo et de contrôle gérée dans le cloud de QSC, qui a généré des ventes d'environ 535 millions de dollars pour les douze mois se terminant le 31 août 2024. Le prix d'achat net représente environ 14 fois l'EBITDA estimé de QSC. La transaction sera financée par 600 millions de dollars en prêts à terme et des réserves de trésorerie, avec une clôture prévue au deuxième trimestre de l'exercice fiscal 2025. L'opération devrait être accretive pour le bénéfice par action dilué ajusté d'Acuity pour l'année fiscale 2025.
Acuity Brands (NYSE: AYI) hat eine verbindliche Vereinbarung zur Übernahme von QSC für 1,215 Milliarden Dollar, bzw. 1,1 Milliarden Dollar netto nach Steuervorteilen, bekannt gegeben. Die Übernahme zielt auf das Cloud-verfügbare Audio-, Video- und Steuerungsplattformgeschäft von QSC ab, das in den zwölf Monaten bis zum 31. August 2024 einen Umsatz von etwa 535 Millionen Dollar erzielte. Der Nettokaufpreis entspricht etwa dem 14-fachen des geschätzten EBITDA von QSC. Die Transaktion wird durch 600 Millionen Dollar an Terminkreditfinanzierungen und Barreserven finanziert, wobei mit einem Abschluss im 2. Quartal des Geschäftsjahres 2025 gerechnet wird. Es wird erwartet, dass das Geschäft die bereinigten verwässerten Erträge je Aktie von Acuity für das gesamte Geschäftsjahr 2025 erhöht.
- Acquisition expected to be accretive to fiscal 2025 earnings per share
- QSC reports strong sales of $535 million in last twelve months
- Strategic expansion into cloud-manageable AV&C market
- $100 million in expected tax benefits from the acquisition
- High acquisition cost of $1.215 billion
- Significant debt financing required ($600 million term loan)
- 14x EBITDA multiple indicates premium valuation
Insights
This strategic acquisition marks a significant expansion for Acuity Brands into the AV&C market. The
The financing structure, combining
The acquisition strategically positions Acuity at the intersection of smart building technology and cloud-based AV management systems. QSC's cloud-manageable platform for audio, video and control represents a significant technological advancement in building management systems, enabling seamless integration of controls, sensors and software across multiple sectors.
The synergy between Acuity's existing intelligent spaces business and QSC's platform creates a comprehensive solution for smart building management. This move aligns with the industry trend toward integrated, cloud-based building management systems and positions Acuity to capture a larger share of the growing smart building market.
Expanding Intelligent Spaces Addressable Market into Cloud-Manageable Audio, Video & Control Platform with Broad Applications
- QSC, LLC is a Leader in the Strategically Adjacent and Growing Audio, Video and Control Industry
- Transaction Expected to Close in the Second Quarter of Fiscal 2025 and be Accretive to Acuity Brands Fiscal 2025 Full-Year Adjusted Diluted Earnings per Share
ATLANTA, Oct. 24, 2024 (GLOBE NEWSWIRE) -- Acuity Brands, Inc. (NYSE: AYI) (the “Company” or “Acuity”), a market-leading industrial technology company, has reached a definitive agreement to acquire QSC, LLC (“QSC”) for a purchase price of
“In our Intelligent Spaces business we are delivering meaningful outcomes for end users that are powered by disruptive technologies and that generate strong financial results,” said Neil Ashe, Chairman, President and Chief Executive Officer of Acuity Brands, Inc. “QSC has built a differentiated cloud-manageable audio, video and control platform that controls what happens in a built space. Our acquisition of QSC builds on our vision of data interoperability as we continue to make spaces smarter, safer and greener.”
QSC is a disrupter in a large and transforming AV&C industry. It provides a cloud-manageable audio, video and control platform that includes controls, sensors and software with broad applications across multiple end-markets including education, commercial, hospitality, government, healthcare and transportation. QSC delivered sales of approximately
“We are excited to be joining a company that is aligned around our long-term mission and shares our values,” said Joe Pham, Chairman and Chief Executive Officer of QSC. “Our shared vision of how we can leverage data with our technology solutions will elevate our ability to service our end-users and drive growth.”
Acquisition Financing and Close
We anticipate funding the transaction using
The transaction is expected to close in the second-quarter of fiscal 2025, subject to customary closing conditions, including, among others, the expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended.
Allen & Company LLC is serving as financial advisor to Acuity and Baker McKenzie is providing external legal counsel. JPMorgan Chase Bank, N.A. and Bank of America, N.A. are leading the financing.
About Acuity Brands
Acuity Brands, Inc. (NYSE: AYI) is a market-leading industrial technology company. We use technology to solve problems in spaces, light, and more things to come. Through our two business segments, Acuity Brands Lighting and Lighting Controls (ABL) and the Intelligent Spaces Group (ISG), we design, manufacture, and bring to market products and services that make a valuable difference in people’s lives.
We achieve growth through the development of innovative new products and services, including lighting, lighting controls, building management solutions, and location-aware applications. We achieve customer-focused efficiencies that allow us to increase market share and deliver superior returns. We look to aggressively deploy capital to grow the business and to enter attractive new verticals.
Acuity Brands, Inc. is based in Atlanta, Georgia, with operations across North America, Europe, and Asia. The Company is powered by over 12,000 dedicated and talented associates. Visit us at www.acuitybrands.com
About QSC, LLC
Founded over five decades ago, QSC, LLC is a globally recognized leader in the design, engineering, and manufacturing of award-winning solutions and services.
Leading the company’s success is Q-SYS, a cloud-first platform for audio, video, and control, built on a modern, standards-based IT architecture. With established solutions across Corporate, Education, Hospitality, Venues, Events, Cinema, Government, Healthcare, and Transportation, Q-SYS is redefining possibilities for live, hybrid, and virtual experiences.
QSC Audio complements these offerings with high-performance loudspeakers, digital mixers, power amplifiers, software, and accessories. These solutions empower creators, performers, and entertainment providers to confidently deliver impactful experiences for their audiences.
The company is headquartered in Costa Mesa in the United States, with an international presence in Europe and Asia and employs around 900 associates. More information can be found at www.qsc.com.
Non-GAAP Disclosure
This news release includes reference to the following non-generally accepted accounting principles (“GAAP”) financial measures: earnings before interest, taxes, depreciation, and amortization (“EBITDA"), and adjusted diluted earnings per share. The most directly comparable GAAP measure for EBITDA is “net income”, which includes the impact of net interest expense, income taxes, depreciation, and amortization of acquired intangible assets, and the most directly comparable GAAP measure for adjusted diluted earnings per share is diluted earnings per share.
Management typically uses these measures for internal reviews of performance and measures for baseline comparative operational analysis, decision making, and other activities. Management believes these non-GAAP measures provide greater comparability and enhanced visibility into results of operations as well as comparability with many of its peers, especially those companies focused more on technology and software. Non-GAAP financial measures should be considered in addition to, and not as a substitute for or superior to, results prepared in accordance with GAAP.
Forward-Looking Information
This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 (the “Act”). Forward-looking statements use words such as “expect,” “believe,” “intend,” “anticipate,” “indicative,” “projection,” “predict,” “plan,” “may,” “could,” “should,” “would,” “potential,” and words of similar meaning, as well as other words or expressions referencing future events, conditions, or circumstances. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Act. Statements that describe or relate to the acquisition, the acquisition financing, the Company’s plans, goals, intentions, strategies, or financial outlook, including whether the acquisition is accretive, and statements that do not relate to historical or current fact, are examples of forward-looking statements. Forward-looking statements are not guarantees of future performance. Our forward-looking statements are based on our current beliefs, expectations, and assumptions, which may not prove to be accurate, and are subject to known and unknown risks and uncertainties, many of which are outside of our control. These risks and uncertainties could cause actual results to differ materially from our historical experience and management’s present expectations or projections. These risks and uncertainties are discussed in our filings with the U.S. Securities and Exchange Commission, including our most recent annual report on Form 10-K (including, but not limited to, Part I, Item 1A Risk Factors), quarterly reports on Form 10-Q, and current reports on Form 8-K. Any forward-looking statement speaks only as of the date on which it is made. You are cautioned not to place undue reliance on any forward-looking statements. Except as required by law, we undertake no obligation to publicly update or release any revisions to these forward-looking statements to reflect any events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events, whether as a result of new information, future events, or otherwise.
Investor Contact:
Charlotte McLaughlin
Vice President, Investor Relations
(404) 853-1456
investorrelations@acuitybrands.com
Media Contact:
April Appling
Vice President, Corporate Communications
corporatecommunications@acuitybrands.com
FAQ
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