Houlihan Lokey Advises S2 Security

Houlihan Lokey is pleased to announce that S2 Security has been acquired by UTC Fire & Security Americas Corp., Inc. (UTC), a subsidiary of United Technologies Corp. (NYSE:UTX). The transaction closed on October 1, 2018.

S2 Security is the leading developer of software-based enterprise physical security solutions, including access control, video surveillance, event monitoring, digital signage, live internet-sourced real-time data, and information feeds. The company offers a complete security management ecosystem delivered on premises or via cloud-based and mobile applications. S2 is the security technology solution of choice for education, healthcare, pharmaceutical, technology, Fortune 500, and SMB end users around the world. Founded in 2003 and headquartered in Framingham, Massachusetts, S2 employs approximately 130 employees globally.

This transaction reinforces key trends in the security technology market:

• Strong organic growth and financial performance associated with unified security management platforms that integrate access control, video surveillance, and situational awareness within an integrated ecosystem
• Security integrators and end users embracing the benefits of mobile and cloud-based security management systems
• High level of strategic interest in technology-enabled security companies of size and scale that own every aspect of their technology portfolio

UTC Fire & Security, a subsidiary of United Technologies Corp., provides a portfolio of safety and security solutions for residential, commercial, and enterprise applications. UTC's world-class fire, safety, and security solutions include alarms, extinguishers, detectors, and access control and video surveillance systems. UTC goes to market under a variety of trusted brands, including Lenel, Interlogix, Edwards, and Kidde.

This transaction exemplifies the continued success of Houlihan Lokey's dedicated coverage of the security technology market, with complementary expertise in physical security, software, and cloud-based platforms to deliver an outstanding result to selling shareholders.