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Singapore's Leading Security Solutions Provider Ademco Partners IE J OI N T M E DI A R E L E A S E Singapore’s leading security solutions provider Ademco partners IE Singapore to make first acquisition in Vietnam, with aims to increase overseas revenue by 50% to drive total business growth MR No.: 005/18 Singapore, Thursday, 8 February 2018 1. Ademco Security Group Pte Ltd (Ademco), one of the region’s leading providers of security and business management solutions, today announced its 60% acquisition of TNT Technologies Joint Stock Company (TNT), Vietnam’s market leader in high-end integrated security solutions 1 , in partnership with International Enterprise (IE) Singapore. This marks Ademco’s first Vietnam acquisition in a move to build local presence to capture Vietnam’s growing needs for integrated security solutions in business operations and management. Today, overseas investments account for about half of its S$40 million annual turnover. Ademco expects to further increase its overseas revenue by 50% over the next three years to drive business growth; Vietnam will be a key contributor to this through the acquisition. 2. Delivering integrated innovative and comprehensive security solutions to more than 8,000 institutional, commercial and government clients across Asia for more than three decades, the entry into Vietnam is the seventh addition to Ademco’s growing geographical footprint across Singapore, China, India, Indonesia, Malaysia and the Philippines. It plans to establish a regional presence in 14 markets globally by 2020. 1 High-end solution would be high level software integrated platform comprising access control, intrusion detection, video surveillance, video analytics and other business software integration. IE Singapore is the government agency that promotes international trade and partners Singapore companies to go global. Joint Media Release 8 February 2018 3. TNT is a 12-year-old company providing high-end integrated security solutions to clients across aviation, banking, manufacturing, oil and gas, and retail. It has a respected track record, with notable projects for clients such as the Hanoi Noi Bai International Airport, Samsung Electronics Vietnam and Mektec Manufacturing Corporation2. The acquisition enables Ademco to draw the deep market knowledge and expertise of TNT, build stronger local presence and reach through its extensive MNC client base in Vietnam, as well as strengthen operational efficiencies through the sharing of best practices and technical know. TNT will also be able to further increase its local reach to the MNC client base with Ademco’s added solutions. 4. Ademco is working closely with IE Singapore on its internationalisation strategy. The Vietnam acquisition was supported by IE Singapore, which provided in-market information on the industry landscape, and facilitated the critical pre-acquisition due diligence process. The in-market assistance helped Ademco make a better assessment on the market potential and the right timing for the acquisition. 5. Mr Toby Koh, Group Managing Director of the Ademco Security Group, said, “Overseas expansion has always been our catalyst for growth and we are very bullish about the opportunities that Vietnam presents. Not only is there a strong demand for integrated security management systems by large MNCs with regional operations in Asia, we also see great potential in the large local enterprises and government bodies, who are slowly beginning to recognise the advantages of unifying and enhancing their security efforts to achieve greater operational efficiencies at a lower cost.” 6. Vietnam registered an increase in Foreign Direct Investments (FDI) of 44% over the past year, totalling over S$46.9 billion in 20173. Its large workforce, low cost structure and government support has attracted many international corporate offices, manufacturing, logistics and warehouse operations. As a result, there is a corresponding increase in demand for high-end and integrated security solutions and services. 2 TNT worked on the installation of a fully integrated security solution into Hanoi Noi Bai International Airport in 2014 with smart card access control, CCTV and monitoring/management platform; the installation of a CCTV system across Samsung’s biggest manufacturing base, Samsung Electronics Vietnam in 2017; and recently completed the setting up of an extensive biometrics access control system for Mektec Manufacturing Corporation. 3 Source: https://www.forbes.com/sites/ralphjennings/2017/12/27/vietnams-economy-will-soar-again-in- 2018-because-investors-just-love-it/#2ad64aad55df Page 2 of 4 Joint Media Release 8 February 2018 7. Mr Koh added, “Key to Ademco’s international success has been our engineering expertise, solutioning know-how and our ability to leverage on the trust and credibility that comes with being an established Singapore brand. This has been further enhanced through our close relationship with IE Singapore, who has not only been instrumental in providing critical pre-acquisition due diligence support in Vietnam, but also in helping us scale up our business expansion strategies in India and China through important business contacts and market intelligence.” 8. Ms Sophia Ng, Group Director for Technology Business Group, IE Singapore, said, “Mergers and acquisitions allow Singapore companies to gain new capabilities, become more efficient through the sharing of best practices and gain strong local partners who can strengthen their overseas reach. Ademco’s partnership with TNT is a good example of a strategic move to speed up the process to establish a local presence overseas to drive greater growth.” 9. Beyond Vietnam, Ademco is partnering IE Singapore to scale up in Asia including India and China. Key to Ademco’s regional growth strategy will be its ability to support and enhance the operational efficiencies of its overseas offices. This will involve further investment in the building up of the finance and manpower capabilities within its Singapore headquarters, which is supported by SPRING Singapore. Ademco is also investing to further strengthen their regional development, engineering and solutions (DES) resources. --End-- For media enquiries and/or event photos, please contact: IE Singapore Mr Wong Jia Rong Manager, Media Corporate Communications Group DID : +65 6433 4886 Email : [email protected] Ademco Ms Amela Tiong Executive Assistant Tel: +65 6305 3000 Email: [email protected] Page 3 of 4 Joint Media Release 8 February 2018 About International Enterprise Singapore IE Singapore is the government agency that promotes international trade and partners Singapore companies to go global. We attract and anchor global trading companies in Singapore by promoting our unique advantages as a global trading hub. Today, Singapore is home to a complete ecosystem for the energy, agri-commodities and metals & minerals trading clusters. Through our network of over 35 overseas centres and comprehensive assistance programmes, we partner Singapore companies to strengthen their global competitiveness. IE Singapore will merge with SPRING Singapore to form Enterprise Singapore in Q2 2018. The new government agency will leverage our core strengths in internationalisation and SPRING’s expertise in helping SMEs, providing Singapore companies with a holistic and integrated network to build capabilities and access overseas markets. Visit www.iesingapore.gov.sg for more information. About Ademco Security Group Pte Ltd A name synonymous with security, Ademco Security Group Pte Ltd has been delivering integrated innovative and comprehensive security solutions to more than 8,000 institutional, commercial and government clients across Asia for more than three decades. Incorporated in Singapore, it has an annual turnover of approximately S$40 million, staff strength of more than 400 personnel across more than 20 cities in Singapore, Malaysia, Philippines, China, Indonesia and India. Page 4 of 4 .
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