Legrand today announced it has signed an agreement to purchase Milestone AV Technologies for an enterprise value of $950 million, subject to customary closing conditions.
The deal unites Legrand’s portfolio, which includes Luxul, Middle Atlantic and Vantage, with Milestone AV brands Chief, Da-Lite, Projecta, Sanus and Vaddio.
Mike Baker, president of Middle Atlantic, said in a letter to partners: "Once the transaction closes, the plan is for Milestone and Legrand’s Middle Atlantic business to come together under the AV Division of Legrand. Both the Milestone and Middle Atlantic product lines will continue to remain in the market place, establishing an offering that can be expanded to serve AV customers globally."
Gilles Schnepp, chairman and CEO of Legrand, commented: “The acquisition of Milestone allows Legrand to pursue its ongoing reinforcement in digital infrastructure, more specifically in the high-value AV infrastructure and power segment in the United States where Legrand is already number one in AV enclosures with its Middle Atlantic Products brand. Milestone will bring Legrand leading positions in commercial and residential AV mounts, as well as in projector screens enabling the Group to provide AV customers with scalable, end-to-end offerings.
“Milestone’s robust leading positions, well-known brands, businesses supported by strong social and technological megatrends, customer-centric approach, ongoing innovation, and active CSR9 policy are key assets which make this acquisition a highly valuable move that ‘ticks all the boxes’ of Legrand fundamentals.”
Scott Gill, CEO of Milestone AV will become president of Legrand’s AV Division, with Middle Atlantic president Mike Baker continuing to lead Middle Atlantic. Going forward, Milestone AV brands will exist under Middle Atlantic in the commercial arm of Legrand.
The acquisition continues a path of consolidation that has been going on for a number of years.
Milestone, which owned the Chief and SANUS mount brands,was acquired by Duchossois Group in May 2008. (Duchossois also owned AMX between 2005 and 2013, before selling it to Harman.) A company merger saw Da-Lite and Projecta join the Milestone portfolio in April 2011. Milestone then acquired Vaddio in April 2016.
Meanwhile Legrand, which has owned Middle Atlantic since June 2011, has been building up its profile within residential technology for some time, for instance with its purchase of NuVo Technologies in November 2012. The company, which has declared that acquisitions are at the heart of its growth strategy, has announced 12 acquisitions since January 2016, mainly in the areas of lighting and lighting control, uninterruptible power supplies and residential AV infrastructure: these include Pinnacle Architectural Lighting, CP Electronics and Luxul Wireless.
Additional reporting by Paddy Baker.