The ADT IPO was rolled out on Friday.
Here are nine things you should know about the initial public offering of the home security company:
- The company said that the 105 million share offering raised about $1.47 billion.
- The ADT IPO was valued at $14 per share, below the projected price of $17 to $19 per share.
- This is expected to be one of the largest offerings for the first part of the new year.
- Its debut took place on Friday on the New York Stock Exchange. Unsurprisingly it is trading under the symbol “ADT.”
- The company is backed by private equity firm Apollo Global Management LLC, which will own about 84.87% of common equity after the offering.
- ADT has a solid clientele amounting to about 7.2 million customers. The company makes security monitoring devices, including surveillance cameras and burglary alarms. It also makes home automation products such as digital door locks.
- Additionally, the company is responsible for handling about 15 million alarms per year, making it the largest manufacturer in the residential monitored security industry as it owns about 30% of the market share in the U.S. and Canada.
- ADT said that its revenue for the nine months ended Sept. 30 was $3.21 billion, a 69% increase compared to the year-ago quarter.
- Well over 90% of the company’s revenue comes from recurring monthly payments under customer contract terms that last three to five years.