Huizenga Will Buy Security Company
Republic Industries Inc., controlled by Florida entrepreneur Wayne Huizenga, will buy burglar alarm company ADT Ltd. for $5 billion.
The companies said the deal will create the world’s largest provider of electronic security services with 1.6 million customers in the North American and Europe.
ADT, which is based in Bermuda, is the largest provider of electronic security services in North America and Britain and runs the second-largest used car auction house in the United States.
Republic Industries owns Kertz Security Systems, which provides electronic security to about 200,000 homes and businesses. It also owns used car chain AutoNation USA.
The deal underscores Republic’s aggressive expansion since Huizenga took charge in 1995. The company has focused on growing its security and solid waste business. It also pushed into the used-car arena recently by buying AutoNation.
Huizenga has a reputation for building businesses. He helped transform the video-rental business from an industry of mom-and-pop operations, growing Blockbuster Video from a small chain into the world’s leading video rental company.
In afternoon trading on the Nasdaq Stock Market, Republic shares were down $2.25 at $26.87-1/2. ADT was up $3.62-1/2 at $22.62-1/2 per share on the New York Stock Exchange.
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