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Allegion to Acquire High-Performance Door Manufacturer AD Systems

ALLE

Allegion to Acquire High-Performance Door Manufacturer AD Systems

Allegion plc (NYSE: ALLE), a leading global security products and solutions provider, has agreed to acquire Aurora Systems, Inc. (AD Systems) through one of its subsidiaries. The transaction is expected to close in the first quarter of 2018, subject to customary closing conditions.

AD Systems – founded in 2013 – designs and manufactures high-performance interior and storefront door systems, specializing in sliding and acoustic solutions. AD Systems’ portfolio includes sliding and swinging doors, perimeter frames, door hardware, gasketing, seals and sidelite panels under its ExamSlide™, OfficeSlide™ and InsetSlide™ product brands. The company is based in Everett, Wash.

“AD Systems is an innovator in door solutions,” said Tim Eckersley, Allegion senior vice president and president of the Americas region. “These solutions are sought across U.S. healthcare, storefront and commercial office spaces because of their distinct designs that provide acoustics control, privacy and ADA compliance. AD Systems is a natural fit with Allegion’s already strong door and door control brands – like Steelcraft®, Republic® and LCN®, to name a few – and will further enable both of our teams to offer the best full-suite solutions to customers.”

Eckersley also noted that, like recently acquired Technical Glass Products®, AD Systems will leverage the strength of Allegion’s existing specification writing capabilities to help accelerate growth.

Following the closing of the transaction, AD Systems is expected to operate within Allegion’s Americas region, and no immediate changes are planned for the business.

“With our strong ties to the same high-quality distribution network as Allegion – servicing the largest U.S. end users, general contractors and architects – as well as our complementary product offerings, this is a positive evolution of the AD Systems business,” said AD Systems President Curt LeMaster.

AD Systems generated approximately $18 million in net sales in 2017. Terms of the transaction were not disclosed.

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements that relate to the acquisition’s impact on the company’s financial and operational performance, the acquisition’s ability to drive growth and the integration of the acquisition. These forward-looking statements are based on the company's current available information and its current assumptions, expectations and projections about future events. They are subject to future events, risks and uncertainties - many of which are beyond the company’s control - as well as potentially inaccurate assumptions, which could cause actual results to differ materially from those in the forward-looking statements. Further information on these factors and other risks that may affect the company's business is included in filings it makes with the Securities and Exchange Commission from time to time, including its Form 10-K for the year ended Dec. 31, 2016, Form 10-Qs for the quarters ended March 31, 2017, June 30, 2017, and Sept. 30, 2017, and in its other SEC filings. The company assumes no obligations to update these forward-looking statements.

About Allegion™

Allegion (NYSE: ALLE) is a global pioneer in safety and security, with leading brands like CISA®, Interflex®, LCN®, Schlage®, SimonsVoss® and Von Duprin®. Focusing on security around the door and adjacent areas, Allegion produces a range of solutions for homes, businesses, schools and other institutions. Allegion is a $2.2 billion company, with products sold in almost 130 countries.

For more, visit www.allegion.com.

Allegion plc
Media
Maria Pia Tamburri, 317-810-3399
Director, Public Affairs
Maria.Tamburri@allegion.com
or
Analysts
Mike Wagnes, 317-810-3494
Vice President, Treasurer and Investor Relations
Michael.Wagnes@allegion.com



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