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Resideo to Acquire Snap One


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5 minutes ago, Control4Savant said:

My comment has nothing to do with C4. A lot of us integrators dont use ADI for reasons.

However, if you think things were slowly evolving  for Control4 now.. just wait. 

gotcha. i guess i was just saying its not like C4 will get shutdown or anything.

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9 minutes ago, therockhr said:

gotcha. i guess i was just saying its not like C4 will get shutdown or anything.

No no. All signs point to larger (but IMO quality diluted) access and integrations.  Savant is trying to become more exclusive, higher end. It’s amazing how different their paths have been in the last 5 years and how poor each brand has been at it. 

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Shouldn’t come as a surprise as Hellman & Friedman LLC bought Snap AV back in 2017 then went on a buying spree including purchasing C4 in 2029, and a multitude of brands that we are all aware of.  This is a private equity exit strategy for SnapOne being acquired by Resideo, as Hellmann & Friedman had a 72% ownership interest in Snap One.

Today’s investor presentation.  

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4 hours ago, c4Iona said:

Control4 coming to an ADI branch near you!

Not necessarily unless you're a Control4 dealer.

Same as in current Snap One distribution locations, I would assume.

That said, I don't speak for any of the companies involved here, and can't predict the future, but I think you may be making an unfounded assumption...

RyanE

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25 minutes ago, RyanE said:

Not necessarily unless you're a Control4 dealer.

Same as in current Snap One distribution locations, I would assume.

That said, I don't speak for any of the companies involved here, and can't predict the future, but I think you may be making an unfounded assumption...

RyanE

Definitely making assumptions… that doesnt negate the obvious when it comes to big business’s marketing these types of moves. Profits and sales are the goal here, not product. Id love to know what liquidly of $800m after closing will bring…

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On 4/15/2024 at 2:32 PM, IBZICON said:

Shouldn’t come as a surprise as Hellman & Friedman LLC bought Snap AV back in 2017 then went on a buying spree including purchasing C4 in 2029, and a multitude of brands that we are all aware of.  This is a private equity exit strategy for SnapOne being acquired by Resideo, as Hellmann & Friedman had a 72% ownership interest in Snap One.

Today’s investor presentation.  

I posted this in the thread in the main forum thread.  It looks like Control4 hasn't been a very good investment for Snap One/ Hellman & Friedman.  They should have sold the rest of their Snap One shares back in early 2022 when it was still well above $15/share and their lockup expired.

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Snap One acquired Control4 in 2019 for $680M.  This probably hasn't been a good investment for Hellman & Friedman, the PE firm that still owned 72% of Snap One, after IPO'ing it in 2021 for $18/share - especially since there was presumably some other value in other parts of Snap One excluding Control4.  They(H&F) purchased Snap AV from General Atlantic in 2017.  And I doubt that they have been pulling any money out of the company since it never had positive net income and averaged a loss of about $20M per year.  Revenue has been flat over the last few years at about $1B.  The takeover price is $10.75, assuming that it goes through.  Snap One had been trading around $8 recently.

 

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6 hours ago, zaphod said:

I posted this in the thread in the main forum thread.  It looks like Control4 hasn't been a very good investment for Snap One/ Hellman & Friedman.  They should have sold the rest of their Snap One shares back in early 2022 when it was still well above $15/share and their lockup expired.

 

Reason why Snap One launched Control 4 assist and assist premium to drive additional RMR from service contracts.  

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Do we know how much C4 represents of Snap One's revenue?  SnapOne's sales went from $591M in 2019 to 814M in 2020 and 1008M in 2021.  C4's revenue from 2016-2018 was $208M, $244M and $273M - it was a separate public company at this time so its financial statements are public.  So it seems to me that C4 would have been about 30% of Snap One revenue, allowing for a bit of growth

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