NICE Systems to Sell Physical Security Business Unit
NICE Systems has entered an agreement to sell its physical security business unit, which provides video surveillance technologies and capabilities, to Battery Ventures, a technology investment firm, for a total consideration of up to $100 million, comprising $85 million in cash and up to an additional $15 million based on future performance.
Nice systems is a provider of software solutions designed to enable organizations to improve customer experience and business results, ensure compliance, fight financial crime, and safeguard people and assets. In a press release NICE said it is selling this physical security unit in order to focus on its key markets and enterprise software business as part of the execution of its long-term strategic plan.
“We continue to aggressively execute our long-term strategic plan,” said Barak Eilam, CEO of NICE. “An element of that plan has been the divestiture of two businesses that did not fall within the parameters of our more synergetic, primary businesses. With this agreement, we have completed this stage of our plan, and we are now better able to focus on those areas that we believe will continue to drive profitable growth for our company.”
Beginning in the third quarter of 2015, the company will present its results from continued operations on a pro forma basis with the Physical Security business unit as a discontinued operation.