Spectrum Brands - Experts & Thought Leaders

Kwikset, brand of Spectrum Brands, Inc. - Hardware & Home Improvement division, the globally renowned company in residential security solutions, announced the availability of the Home Connect 620, the company’s newest Z-Wave connected smart lock. Home Connect 620 smart lock The Home Connect 620, which offers a 10-button keypad with one-touch locking, is Kwikset’s first smart lock in the ‘Home Connect’ line. It is also the company’s first lock, featuring the latest Z-Wave 700 chip technology, which includes the convenience of Z-Wave SmartStart and the security of the S2 framework. The incorporation of the new Z-Wave 700 Series smart lock provides a number of significant enhancements, including wireless security features that reduce the vulnerability of the network during enrolment, as well as increased battery life. This is due to the fact that 700-Series devices consume 64% less power for wireless communication and the fact that the technology allows for resting, when the device is not being used. Furthermore, the 700-Series smart lock is expected to allow for communication that is 250% further than the Z-Wave Plus 500-Series locks, a major increase in wireless range. Featuring Z-Wave SmartStart With Z-Wave SmartStart, users can enrol devices by scanning a QR code, even before beginning installation, providing an easier and faster way to gain instant interoperability, and control of the Home Connect 620 device. The S2 framework provides an additional layer of AES 128-bit encryption of wireless signals, for increased device security. Featuring a sleek, all-metal design, choice of traditional or contemporary styling, the Home Connect 620 connected smart lock is designed to integrate with a variety of smart home systems and serves as an ideal ‘entry-level’ smart lock. Remote locking/unlocking via smartphones and tablets The Home Connect 620 delivers convenience and peace of mind to home owners The Home Connect 620 delivers convenience and peace of mind to home owners, with complete remote locking/unlocking via smartphones and tablets, as well as total home control. The Home Connect 620 can hold up to 250 user access codes and receive notifications from anywhere there is an internet connection, through a home automation system. Home owners can quickly send personalised access codes to family and guests. Mastercode feature offers enhanced security The Mastercode feature of the Home Connect 620 protects commands and settings, to prevent lock tampering and can be managed wirelessly, for additional security and lock management. “We’re looking forward to introducing the first lock in our new Home Connect line,” said Matt Zimmer, the Vice President of Marketing - Spectrum Brands HHI Security Hardware. Incorporated with Z-Wave 700 Series chip Matt Zimmer adds, “We believe dealers will be excited, because it gives home owners the opportunity to experience the comfort, convenience and safety of electronic security, and total home control, at a very cost-effective price point, as well as the technological advantages that the Z-Wave 700 chip offers.”

ASSA ABLOY has signed a definitive agreement to acquire the Hardware and Home Improvement (HHI) division of Spectrum Brands (SPB) for a purchase price of MUSD 4,300 on a cash and debt free basis. Spectrum Brands’ Hardware and Home Improvement (HHI) division is a renowned provider of security, plumbing, and builders’ hardware products to the North American residential segment, with a diversified product offering of locksets, faucets, and builders´ hardware. Hardware and Home Improvement Hardware and Home Improvement has a varied portfolio of innovative products, including patented SmartKey technology Hardware and Home Improvement (HHI) has a varied portfolio of innovative products, including patented SmartKey technology and electronic, smart and biometric locks. Key brands include Kwikset, Baldwin, Weiser, Pfister and National Hardware. HHI has strong, established relationships with a variety of customers, including large home improvement centres, wholesale distributors, home builders, online retail channels and home automation providers. For the fiscal year ending September 2020, HHI’s net sales were MUSD 1,342, with adjusted EBITDA margin of around 19%. HHI is headquartered in Lake Forest, California, with some 7,500 employees worldwide and has manufacturing facilities in the United States of America, Mexico, Taiwan, China and the Philippines. Transformation from mechanical to digital solutions “HHI is an excellent addition to the ASSA ABLOY Group and constitutes an important strategic step in developing our residential business in North America. This acquisition advances our strategy to strengthen our position, by adding complementary products to the core business and it will further accelerate the transformation from mechanical to digital solutions,” said Nico Delvaux, President and Chief Executive Officer (CEO) of ASSA ABLOY. Nico Delvaux adds, “I look forward to welcoming HHI and all of its employees into the ASSA ABLOY Group.” Lucas Boselli, Executive Vice President of ASSA ABLOY and Head of the Americas Division, said “The acquisition of HHI brings strong, well-known brands and high-quality, innovative products to the residential portfolio for ASSA ABLOY in North America, complementing our current business with a passionate and experienced team.” Technology platform and innovation focus Lucas Boselli adds, “Our technology platform and innovation focus supplements HHI’s current offerings and provides an exciting opportunity for us to deliver superior value to consumers.” “After stewarding this asset for the past decade, the Board of Directors and I are confident that ASSA ABLOY is uniquely positioned to take our HHI business and team members to the next level of performance and achievement. I am personally excited to see the innovation and exciting new products that this transaction will unlock for future generations,” said David M. Maura, Executive Chairman and Chief Executive Officer (CEO) of Spectrum Brands Holdings Inc. Background of the HHI acquisition HHI complements ASSA ABLOY, in terms of both product offering and geographic scope ASSA ABLOY has tremendous respect for the achievements of HHI, which is a great company with a proven track record. HHI complements ASSA ABLOY, in terms of both product offering and geographic scope, with well-known brands, a strong culture and values, high quality products and skilled employees, managed by a professional team. HHI constitutes a strategically important step in developing ASSA ABLOY’s residential business in North America, supplementing the company’s strong reputation for innovation on the commercial side. HHI brings a deep knowledge of the residential business and adds complementary products, technology and solutions. Major consumer brands added to portfolio HHI adds established consumer brands in North America, including Kwikset, Baldwin, Weiser, Pfister and National Hardware, to our brand portfolio. ASSA ABLOY can bring technological innovation to consumers, which are using HHI’s access to new retail channels, such as home builders and DIY retail. HHI’s large installed base and great consumer reputation provides an excellent opportunity, to grow their electro-mechanical and digital access solutions. HHI has a long track record of innovation, especially within SmartKey technology, which will complement ASSA ABLOY´s offering. ASSA ABLOY expects strong synergies, the largest components being their increased product offering, advances in technology, distribution and procurement. The EBIT synergies are expected to reach around MUSD 100 in 2025. Focus on residential space in North America HHI focuses on the residential space in North America, which is highly attractive, underpinned by favourable macro trends, such as recent strong home sales, housing starts, an aging housing stock and increased consumer focus on home repair and re-modelling. HHI will become part of the Opening Solutions Americas Division of ASSA ABLOY. Financing of the acquisition and financial terms ASSA ABLOY maintains its commitment to a strong investment grade credit rating profile The transaction will be fully funded by existing cash and new debt. ASSA ABLOY maintains its commitment to a strong investment grade credit rating profile. The total consideration for the acquisition of HHI amounts to MUSD 4,300, on a cash and debt free basis. For the fiscal year ending September 2020, HHI’s net sales were MUSD 1,342, with adjusted EBITDA margin of around 19%. Based on publicly available financial information for 2020, for both HHI and ASSA ABLOY, the acquisition of HHI will add around 14% to ASSA ABLOY´s consolidated sales. The operating margin effect for ASSA ABLOY is initially expected to be dilutive. The acquisition will be accretive to EPS from the start. Total purchase price of MUSD 4,300 reflects a multiple of 14x expected fiscal year 2021 (30 September), adjusted EBITDA of the HHI segment. The purchase price net of the present value of tax benefits represents a multiple of approximately 10x adjusted EBITDA, including synergies. Conditions for the transaction The transaction is conditional upon regulatory approval and customary closing conditions, and is expected to close during the fourth quarter of 2021. ASSA ABLOY has agreed to pay a termination fee of MUSD 350 in certain circumstances, if the transaction agreement would be terminated and required regulatory approvals would not have been obtained. ASSA ABLOY is being advised by BofA Securities as exclusive financial advisor, and Linklaters LLP and Hogan Lovells as legal advisors. A conference call will be held at 08:00 am (CET), on Thursday, September 9, 2021. During the conference call, ASSA ABLOY´s President and Chief Executive Officer (CEO) - Nico Delvaux, the Chief Financial Officer (CFO) - Erik Pieder and the Head of the Americas Division - Lucas Boselli will describe the acquisition and respond to questions related to the transaction deal. 

Kwikset® brand of Spectrum Brands, Inc. – hardware & home improvement division, the pioneer in residential security, introduces Control4® compatibility to its Obsidian™ Electronic Touchscreen Deadbolt with Home Connect™ and the contemporary version of the SmartCode™ 916 Touchscreen Electronic Deadbolt. The new locks were shown at the Control4 booth (#3013) at CEDIA 2019 in Denver. In response to increased dealer demand for Control4 compatibility, two of Kwikset’s most popular connected locks have passed Control4 certification and are now recognised as a partner in the connects with Control4 program. Third-party consumer electronics products The Control4 platform, interoperates with more than 14,000 third-party consumer electronics products Besides the high level of security and convenience they provide, these new locks give customers and smart home professionals additional design choices to compliment today’s home aesthetics. The Control4 platform, which operates on the ZigBee protocol, interoperates with more than 14,000 third-party consumer electronics products. “Our philosophy has always been to create a lock for everyone, whether in terms of style, finish, functionality, or operating platform,” said Nick English, Kwikset’s North American Sales Manager, Residential Access Solutions. “There’s no question that the Control4 audience is growing by leaps and bounds. As a result, we felt it would be a sound business decision to create these new smart locks to help Control4 homeowners take advantage of the amazing functionality of two of our most popular locks, as well as their own Control4 home automation systems.” Advanced mechanical and electronic security features Both Connects with Control4 Certified locks are available in Iron Black and Satin Nickel finishes. The Iron Black finish represents the Kwikset’s first locks in the Control4 channel available in black – a finish that has long been requested by Control4 customers. The new devices bring Control4 dealers and homeowners the full range of features Kwikset built into these two smart locks. Named after a dark, glasslike volcanic rock, Obsidianmerges a sleek and modern exterior; a class-leading, minimal, all-metal interior; and advanced mechanical and electronic security features. Eliminating the keyway also removes the threat of ‘lock picking’ and ‘lock bumping,’ and attacks using specially cut keys to defeat conventional pin and tumbler locks. Capacitive touchscreen for keyless entry Kwikset’s first keywayless deadbolt, Obsidian features a responsive, capacitive touchscreen for keyless entry. The cool white LED display delivers crisp, high-definition LED illumination, and a dedicated lock button provides the homeowner with convenient and fast one-touch locking. The contemporary SmartCode 916 smart locks features an updated, modern design Obsidian also includes Kwikset’s patented SecureScreen™ technology, an important feature that can help mask ‘smudge’ attacks, in which passcodes can potentially be jeopardised by detecting frequently used numbers from the oily residues on the touchscreen surface. The contemporary SmartCode 916 smart locks features an updated, modern design – a contrast to the traditional style already available to Control4 homeowners. Home security and automation systems The lock integrates with home security and automation systems to deliver convenience and peace of mind to homeowners with complete remote locking/unlocking via smartphones and tablets. It also offers Kwikset’s popular SecureScreen feature. In addition, the SmartCode 916 offers SmartKey™ Re-Key Technology, which allows homeowners to re-key the lock in seconds without removing the lock from the door or requiring the services of a locksmith. MSRP for the Obsidian is $418 USD and the contemporary SmartCode 916 is $399 USD. Both smart locks are available for purchase through Control4 certified dealers.

The sale of Carrier’s Global Access Solutions to Honeywell in December amounted to a dramatic finish to a big year in 2023 for mergers and acquisitions (M&A) in the physical security market. In the transaction between two industry giants, Honeywell sought to enhance and strengthen its building automation capabilities with the acquisition of Carrier’s Global Access Solutions business for $4.95 billion, in an all-cash transaction. Honeywell acquires Carrier Access business  The acquisition, which includes both hardware and software solutions, will mean a new corporate owner for the LenelS2 brand, a pioneering business for over 25 years in commercial and enterprise access solutions, including well-known offerings Onguard and Netbox. In addition, the acquisition covers the Onity brand of electronic locks, including hospitality access, mobile credentials, and self-storage access; and the Supra brand of cloud-based electronic real estate lockboxes.  ADT sells commercial business, which rebrands as Everon  ADT Inc. announced the sale of its commercial security, fire, and life safety business unit to GTCR ADT Inc., another industry giant and a trusted brand in smart home and small business security, announced the sale of its commercial security, fire, and life safety business unit to GTCR, a private equity firm, for a purchase price of $1.6 billion.  ADT Commercial, a security integrator and premier provider of commercial security, fire, and life safety in the United States, announced that it will move forward as a standalone organisation and rebrand as Everon.  Bosch to sell building technologies products  Bosch Building Technologies announced in 2023 that it is realigning its Building Technologies division to focus solely on its regional integrator business, with solutions and services for building security, energy efficiency, and building automation. Therefore, Bosch plans to sell most of the Building Technologies division’s product business. At year-end, Bosch was seeking a buyer who would take on all three business units with their associates and locations. This includes the Video, Access and Intrusion, and Communication business units, and affects some 4,300 associates at more than 90 locations worldwide. Building its integrator business earlier in 2023, Bosch announced the acquisition of Paladin Technologies, Inc., headquartered in Vancouver, Canada, a provider of security and life safety solutions and system integration services in North America. Motorola acquires IPVideo, creator of HALO Sensor In another deal emerging late in 2023, Motorola Solutions acquired IPVideo Corp., Bay Shore, N.Y., the creator of the HALO Smart Sensor, an all-in-one intelligent sensor that detects real-time health and safety threats. The powerful capabilities of the HALO sensor extend Motorola’s end-to-end physical security offering by integrating a non-video threat detection product into the safety and security ecosystem. IDIS acquires Costar Technologies  Costar has a sales channel of over 100 distributors and 1,000 systems integrators across the U.S. Korean video manufacturer IDIS and U.S. company Costar Video Systems had enjoyed a long-term existing ODM (original design manufacturer) relationship, and approximately 60% of Costar Video products were already made by IDIS. Therefore, it made sense when IDIS Co., Ltd. and Costar Technologies Inc. announced an agreement and plan to merge, with IDIS acquiring Costar. Leveraging Costar's established distribution networks and sales channels in the U.S. gives a significant boost to IDIS' growth strategy, which is founded on building long-term relationships with systems integrators. Costar has a sales channel of over 100 distributors and 1,000 systems integrators across the U.S. that will benefit from IDIS’ NDAA-compliant and 100% Korean-made technology. SECOM invests in Brivo and Eagle Eye  Eagle Eye Networks, a cloud video surveillance company, and Brivo, a provider of cloud-based access control and smart space technologies, announced one of the largest investments to date in cloud physical security in 2023.  SECOM CO., LTD, based in Japan and one of the largest security integration companies in the world, has made a primary equity investment of $192 million in the two companies, $100 million in Eagle Eye Networks, and $92 million in Brivo. $100M primary equity investment Brivo will also use the additional investment to continue expanding in Europe, Latin America, and Asia Pacific Eagle Eye Networks, a global pioneer in cloud video surveillance, announced it will use the $100M primary equity investment to expand its suite of AI-powered products, fund geographic expansion, and enhance its enterprise features.  Brivo will use the investment to grow sales and marketing, accelerate product development scale support and operational functions, and evaluate strategic acquisitions. Brivo will also use the additional investment to continue expanding in Europe, Latin America, and Asia Pacific, and enhance the smart spaces and AI functionality in the Brivo Access Platform.  ACRE buys PremiSys Portfolio  ACRE, a security company built on acquisitions, is continuing to broaden its portfolio and serve the expanding needs of its customer base. In 2023, ACRE acquired the PremiSys software and hardware portfolio and assets from IDenticard.  PremiSys’ technologies enable organisations to self-manage door access and view integrated video and lockdown facilities. The acquisition extends opportunities for ACRE in healthcare, education, data centers, and senior living facilities.  Qognify is a part of Hexagon  Qognify extends Hexagon’s real-time monitoring and security reach to detect, assess, and respond Qognify, a provider of video (VMS) and enterprise incident management (EIM) solutions announced that it has become a part of Hexagon. Qognify joins the Safety, Infrastructure & Geospatial division of Hexagon, following the completion of its acquisition originally announced on Dec. 19, 2022.  Qognify extends Hexagon’s real-time monitoring and security reach to detect, assess, and respond to incidents, providing a more robust offering. ASSA ABLOY continues acquisition trend  ASSA ABLOY continued to acquire companies in 2023 to strengthen its position in mature markets by adding complementary products and solutions to the core business. Among the companies acquired in 2023 were Ghost Controls, a U.S. supplier of automated residential gate openers, and Securitech Group, a manufacturer of high-security mechanical and electronic door hardware products in the U.S.  Door and fencing ASSA ABLOY also acquired Leone Fence, a Canadian manufacturer, distributor, and installer of fencing products for commercial and residential applications, and Lawrence Hardware and Gallery Specialty, providers of commercial hinges, locksets, exit devices, and door hardware accessories in Canada. Another new acquisition is Inovadoor Portas Industriais Ltda, a Brazilian manufacturer of sectional and high-speed doors.  Earlier in 2023, ASSA ABLOY completed the acquisition of Spectrum Brands’ Hardware and Home Improvement division and the divestment of Emtek and the Smart Residential business in the U.S. and Canada to Fortune Brands.

Security is among the defining topics at the Consumer Electronics Show (CES) 2019 this week in Las Vegas. More than 4,500 exhibiting companies are participating, including some 1,200 startups, highlighting the next wave of innovation in consumer electronics – and security. Twenty-four product categories at CES feature solutions to transform how consumers live, work and play. Technologies being highlighted include 5G connectivity, artificial intelligence (AI), augmented and virtual reality, smart homes, smart cities, and machine intelligence. Video is an important element at CES. This year, the focus is on intelligent video. For example, Eyecloud.ai, Santa Clara, Calif., is displaying a home security camera with on-device face recognition that uses AI. Powered by a 12-core Intel Movidius VPU (video processing unit), the camera combines AI-on-the-edge with easy setup and wirefree operation for up to six months per battery charge. On-device artificial intelligence On-device AI is the next big trend in smart home surveillance, and deep neural networks will drive the future of do-it-yourself home automation SimCam, an Intel partner, demonstrates how the Intel Movidius VPU can turn a security camera into ‘the ultimate vision-based sensor’. On-device AI is the next big trend in smart home surveillance, and deep neural networks will drive the future of do-it-yourself home automation. A variety of other residential video systems are also on display at CES. For example, Swann Security is displaying 4K wired security systems featuring Google integration, a wireless smart security camera with True Detect heat-based PIR (photo infrared) motion detection, a video doorbell and chime with two-way talk, and indoor and outdoor wi-fi cameras with Alexa integrations. Intelligent automotive solutions Camera system-on-chip (SoC) company Ambarella is introducing the new CV25 camera SoC at CES. It combines advanced image processing, high-resolution video encoding and CVflow computer vision (video analytics) processing in a single, extremely low-power design. The CVflow architecture provides Deep Neural Network (DNN) processing required for a new generation of affordable and intelligent home monitoring, professional surveillance and aftermarket automotive solutions. CV25 offers half the performance of Ambarella’s previously released CV22 chip, but the new chip’s lower cost will bring intelligent cameras to a price point desirable for home systems. All Ambarella’s chips have hardware-based cybersecurity. A suite of advanced cybersecurity features protects against hacking, including secure boot, TrustZone, and I/O virtualisation. Based on 10nm ultra-low power processing technology, the CV25 chip is optimised for wirefree cameras applications that require long battery life and small form factors. Camera system-on-chip (SoC) company Ambarella is introducing the new CV25 camera SoC at CES Virtual security guards Elsewhere, the Deep Sentinel home security system applies video and AI to predict residential break-ins ‘before they happen’. The Pleasanton, Calif.-based tech startup uses ‘AI-infused security cameras’ to keep an eye on your home. Three wireless 1080p full HD cameras provide night vision and PIR motion sensing, connected by a smart hub. Using proprietary artificial intelligence, the cameras act as virtual guards, watching activity around a house and providing alerts to situations that may lead to burglaries, break-ins, package thefts and other dangers. My Safe Patrol is an AI-driven platform that analyses data aggregated from security personnel, citizen alert systems and IoT smart devices, and responds with geolocated alerts in real-time. My Safe Patrol effectively supports the security/safety ecosystem of a building, a campus, a city or a district through a dynamic dashboard that helps command and control operations manage and deploy security plans. AI-integrated devices Showcased solutions include Smart Living integration of video surveillance applications to enable real-time two-way audio and video streaming simultaneously MicroVision, Redmond, Wash., showcases an interactive display engine for AI-connected devices, providing an integrated solution for projected display and interactivity through multi-point touch and air gestures. MicroVision’s new consumer 3D LiDAR engine provides high-fidelity spatial awareness to smart home hubs, for input to smart devices such as lighting, security, entertainment, and thermostats. The Internet of Things (IoT) is another big topic at CES, and ThroughTek Co., Ltd., Taiwan, demonstrates IoT developments to transmit voice, video and data over both wide- and narrow-band channels in smart home applications. Showcased solutions include Smart Living integration of video surveillance applications combined with voice assistant to companion robots, wireless doorbells, and battery cameras to enable real-time two-way audio and video streaming simultaneously. Advanced Capacitive Touchscreen Decayeux Group, a European manufacturer of mailboxes and high security doors, is displaying MyColisBox, a secure and connected parcel box delivery system designed to provide online shoppers a secure pickup point accessible by a PIN code sent via SMS message to a smartphone. Walter is the new mobile app for MyColisBox. Kwikset, a division of Spectrum Brands, showcases its smart lock portfolio – including three new smart locks – in the CES Smart Home Marketplace. Kwikset is showing the SmartCode 888, Kwikset Convert, Obsidian, and new designs of the SmartCode 914 and SmartCode 916, as well as a new wi-fi lock. Baldwin, Kwikset’s ‘luxury lock’ sister company, is offering a preview of its new TouchScreen Collection, launching this summer, available in five styles and featuring Advanced Capacitive Touchscreen technology. The Internet of Things (IoT) is another big topic at CES, with many companies demonstrating IoT developments Cyber security standards Privacy is increasingly a concern in the consumer space, and Private Discuss, from PIMAN Security, is a premium, secure, white label communication solution. Their active AI-powered defense architecture provides encrypted audio and video calls, messaging and file sharing. It renders a confidential, secure messaging platform that adheres to the highest standards of cybersecurity. FLIR provides virtual reality demonstrations at their CES booth, allowing attendees to put on a virtual fire helmet and try out a FLIR camera in a real-world residential fire response scenario. Participants may also use a FLIR optical gas imaging camera virtually to stop fugitive emissions in a natural gas refinery. Booth visitors may also take “thermal selfies” to post on social media.