Control4 acquires Triad Speakers1 March 2017
Control4 Corporation has announced the acquisition of Triad Speakers, bringing acoustics expertise and a full line of speaker solutions to the smart home solutions provider.
“The acquisition of Triad brings proven premium-acoustics experience and innovation to our company, enabling us to immediately deepen our entertainment offering and develop new integrated-audio experiences for the future,” said Martin Plaehn, Control4 chairman and CEO.
Over its 30-year history, Triad Speakers has built up a portfolio of built-to-order premium speakers for home entertainment and outdoor environments. The acquisition of Triad is a strategic addition to the Control4 entertainment portfolio, which includes the fully programmable Control4 EA-series controllers with native high-resolution streaming music services, its family of multi-room audio matrix switches and amplifiers, and its family of UHD 4K video matrix switches with audio down-mixing capabilities.
“At Triad, high-quality audio, custom design, and seamless integration have been the standards that we will continue delivering to our dealers and their end customers,” said Larry Pexton, founder and CEO of Triad. “Becoming part of the Control4 family enables us to expose our engineering expertise to those homeowners in the broader market of home automation and entertainment who are passionate about their listening experience.”
Effective immediately, all Triad dealers in North America are now able for the first time to place their product orders and customisation requests via a brand new online dealer portal. Control4 and Pakedge dealers may also order Triad solutions online.
Nearly the entire Triad team will be joining Control4, including founder Larry Pexton, as well as the Triad’s R&D, manufacturing, and custom-services employees, all of whom will continue operating from Triad’s existing facility in Portland, Oregon.
Total consideration for the acquisition of Triad consisted of $9.6 million in cash. Triad generated approximately $9 million in revenue in 2016. Control4 plans to invest in the operations of the business during 2017 in order to push adoption of these products through its larger sales channels. As a result, Control4 anticipates that the acquisition will be net income neutral in 2017, after adjusting for acquisition related expenses. Control4 will provide guidance for the second quarter and update its annual guidance to include the operations of Triad at its next earnings call.