- Founded in 1985, Spy Alarms received private equity backing from Phoenix Equity Partners in 2020;
- With more than 75,000 customers – both domestic and commercial – Spy Alarms is one of the largest privately owned installers of security systems in the South East;
- In addition to organic growth, Spy Alarms has also grown through making 29 strategic acquisitions in the last decade;
- UK security system services industry revenue is forecast to grow at a CAGR of 3.1% over the five years through 2028-29 to reach £1.6bn.
OakNorth, the digital bank for entrepreneurs, by entrepreneurs, has completed a £2m Revolving Credit Facility to Spy Alarms, an electronic security and fire system services business which installs, maintains and monitors intruder alarms, CCTV, fire safety systems and access control systems.
The business was founded in 1985 by Martin Foster, after his own house was burgled and he could not find the system he needed from existing suppliers. With more than 75,000 customers – both domestic and commercial – throughout London, Kent and the Home Counties, Spy Alarms is one of the largest privately owned installers of security systems in the South East. From studio apartments to country estates, small offices to large industrial complexes, Spy Alarms installs and maintains intruder and fire alarm systems for all kinds of premises, aiming to provide competitively priced installations using quality components and the latest technology. Spy Alarms is certified to NSI Gold standard, which is the highest accreditation from the security industry governing body, the National Security Inspectorate. In addition, it has consistently gained the Metropolitan Police Alarm Performance Award (Gold) and Custodian Gold Shield Award for the lowest number of false alarms recorded.
In addition to organic growth, Spy Alarms has also grown through making over two dozen successful acquisitions of fire and security companies over the last decade. Having received backing from Phoenix Equity Partners in August 2020, it has continued this buy-and-build strategy, and will pursue more with the finance it has secured from OakNorth and Crescent Capital. This is the second time OakNorth has worked alongside Crescent Capital to provide working capital facilities.
Commenting on the transaction, Richard West, CFO of Spy Alarms, said: “We believe in providing the best security system for the individual needs and budget of each customer. In order to do that, we make sure we’re familiar with your situation and then tailor our solutions accordingly. This is a similar approach taken by OakNorth where the team developed a deep understanding of our business and our specific needs, before designing a bespoke finance package to meet these needs. With their support, we’ll be able to continue growing and offering the security, safety, and peace of mind to even more customers.”
Stewart Haworth, Director of Debt Finance at OakNorth, continued: “Spy Alarms has completed 29 acquisitions in the last decade, which means it offers a simple and well-tested process that makes it easy for vendors who might be selling a business for the first time. There are thousands of potential acquisition targets for the business across the UK – hundreds of which are in the South East – providing significant acquisition-led growth potential for the future. With the UK security system services industry expected to see strong growth over the next few years, and with the backing of an exceptional sponsor in Phoenix Equity Partners, Spy Alarms is in a prime position to capitalise on this. We’re excited to be supporting the business on this journey and look forward to seeing the business’ continued success.”
ENDS
Notes to editors
About OakNorth
Launched in September 2015, OakNorth is the digital bank for entrepreneurs, by entrepreneurs, empowering scale-up businesses (£1m-£100m turnover) to support growth, prosperity, and innovation for the benefit of all.
Since its launch, the bank has:
- Lent over £11b to these businesses, directly helping with the creation of 47,000 new jobs and 29,000 new homes across the UK.
- Raised deposits from c.175,000 savers.
- Supported several hundred businesses across the UK with the debt finance to pursue their growth ambitions.
It is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
Visit www.oaknorth.co.uk for more information.
Media contact
Valentina Kristensen, Director, Growth & Communications – [email protected] / [email protected] / 0757 234 9009