from proactive today Threat Protect Australia (ASX:TPS),...

from proactive today

Threat Protect Australia (ASX:TPS), formerly East Africa Resources, is set to double its client base with the acquisition of fellow security service provider Monitoring Excellence for $2.52 million.

Monitoring Excellence has over 10,000 clients and generates annual revenue of $1.8 million. Its acquisition will be immediately earnings accretive.

This acquisition is part of the company’s strategy to grow by leveraging its fixed-cost security infrastructure and A1-graded facility.

Following the acquisition, the security control rooms of Monitoring Excellence will be closed and its clients serviced by Threat Protect’s facility, which will improve the level of service and reduce costs for the combined entities.

Due diligence is now underway on a second acquisition and other possible acquisitions have been identified.

Threat Protect provides security, monitoring and risk-management solutions to the growing security-conscious market. It owns and operates one of just five security control centres in Perth.

It started trading on the ASX today after completing its backdoor listing via East Africa Resources.

This included a successful $5.5 million capital raising priced at $0.02 per share, proceeds of which will be used for the acquisition of Monitoring Excellence.