Worldwide deal is latest ‘search fund acquisition’ deal


Novidam’s Schuil says ramping up access, video, interactive services on the to-do list

02/03/2016

Martha Entwistle

NEW YORK—The purchase of Worldwide Security by Novidam Capital Partners is the latest example of a “search fund” acquisition deal in the security industry, a specialized finance model that brings entrepreneurs into the security industry.

Worldwide, an $8.2 million full-service security company, was acquired by Novidam Capital, a search fund, last month.

Former Worldwide CEO Ken Mara is retiring and Novidam’s Alexander Schuil is now CEO of the company which has been renamed Worldwide Security Group.

“In the search fund model, searcher-entrepreneurs are backed by experienced investors to search for, acquire and manage for the long term, one private company. In the model, the searcher-entrepreneurs look for businesses in industries of their choosing, and, if a deal comes to fruition, become CEO of the acquired entity, forming a true succession solution to selling owner-founders,” Schuil explained to Security Systems News.

Novidam Capital was formed in 2014 for that purpose. Other security companies that have been acquired by search funds are UCIT and VRI, a PERS company, according to Henry Edmonds of The Edmonds Group, a specialized investment bank.  The Edmonds Group, advised Worldwide in the transaction.  

Worldwide has “been a very successful business, and it will be a nice platform for Alex to move [the security company] from an entrepreneurial business approach to a more structured professional business approach,” Edmonds said.

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