ADT Sells Commercial & Residential Businesses to Apollo for $1.65B

TL;DR

ADT selling off major parts of its business to Apollo for $1.65B, closing early next year.

AI Summary

ADT Inc. announced on October 2, 2024, that it has entered into a definitive agreement to sell its commercial security and fire, small business, and residential security and smart home businesses to certain subsidiaries of Apollo Global Management, Inc. for approximately $1.65 billion in cash. The transaction is expected to close in the first half of 2025.

Why It Matters

This significant divestiture by ADT Inc. to Apollo Global Management could reshape ADT's strategic focus and financial structure, potentially impacting its market position and future growth trajectory.

Risk Assessment

Risk Level: medium — The sale involves substantial business segments, and the successful completion and integration of the transaction carry inherent risks.

Key Numbers

• $1.65 billion — Sale Price (Cash consideration for the sale of commercial security and fire, small business, and residential security and smart home businesses.)

Key Players & Entities

• ADT Inc. (company) — Seller
• Apollo Global Management, Inc. (company) — Buyer
• $1.65 billion (dollar_amount) — Sale price
• October 2, 2024 (date) — Agreement date
• first half of 2025 (date) — Expected closing period

FAQ

Key Financial Figures

• $0.01 — ich registered Common Stock, par value $0.01 per share ADT New York Stock Exchan

Filing Documents

• d876174d8k.htm (8-K) — 26KB
• 0001193125-24-233900.txt ( ) — 142KB
• adt-20241002.xsd (EX-101.SCH) — 2KB
• adt-20241002_lab.xml (EX-101.LAB) — 17KB
• adt-20241002_pre.xml (EX-101.PRE) — 11KB
• d876174d8k_htm.xml (XML) — 3KB

Forward Looking Statements

Forward Looking Statements ADT has made statements in this filing that are forward-looking and therefore subject to risks and uncertainties, including those described below. All statements, other than statements of historical fact, included in this document are, or could be, "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and the applicable rules and regulations of the Securities and Exchange Commission (the "SEC") and are made in reliance on the safe harbor protections provided thereunder. These forward-looking statements relate to, among other things, the impact from the cybersecurity incident, the scope of the investigation and the Company's plans, objectives, projections and expectations relating to the Company's operations or financial condition, and assumptions related thereto. Without limiting the generality of the preceding sentences, any time we use the words "ongoing," "expects," "intends," "will," "anticipates," "believes," "confident," "continue," "propose," "seeks," "could," "may," "should," "estimates," "forecasts," "might," "goals," "objectives," "targets," "planned," "projects," and, in each case, their negative or other various or comparable terminology, and similar expressions, we intend to clearly express that the information deals with possible future events and is forward-looking in nature. However, the absence of these words or similar expressions does not mean that a statement is not forward-looking. These forward-looking statements are based on management's current beliefs and assumptions and on information currently available to management. We caution that these statements are subject to risks and uncertainties, many of which are outside of our control and could cause future events or results to be materially different from those stated or implied in this filing, including, among others, the Company's ongoing assessment of the impacts of the cybersecurity incident; the Company's expect