NICE Systems Ltd. (Nasdaq: NICE; TASE: NICE) has signed an agreement to sell its Physical Security Business Unit (PSBU) to technology investment firm Battery Ventures. According to the terms of the deal, PSBU, which provides video- management, video-analytics and situation-management solutions, will be spun out into an independently operating business.
Moti Shabtai, the current general manager of PSBU at NICE Systems, will become group president of the newly created company. He will be joined by Adam Markin, an experienced industry operator and Battery executive-in-residence, who will serve as chairman.
Shabtai said, "PSBU has been a visionary in this market for years, and we will continue the division's track record of innovation. Battery will strive to help PSBU achieve the company's potential as well as long-term business objectives, providing PSBU with access to additional capital, extensive transaction experience, and broader industry relationships to help accelerate growth."
The newly created company will be headquartered in New Jersey with additional offices in London and Singapore, and an R&D center in Israel. Battery's private equity practice, which has a global emphasis, has experience with operations in the United States, Europe, Israel and Asia.
Battery Ventures general partner Jesse Feldman said, "There are great opportunities to grow PSBU into a stronger and more influential player in the market by offering new solutions, targeting new market segments and serving a broader range of customers. In conjunction with the PSBU management team, Battery's financial backing will help the new company capture those opportunities."
PSBU's solutions are leveraged by organizations worldwide to capture, analyze and leverage big data to anticipate, manage and mitigate security and safety risks, maintain business continuity and optimize operations. With a portfolio comprised of NiceVision and FAST, its flagship video-management solutions; video analytics, including the award-winning Suspect Search product; and NICE Situator, an incident-management solution, PSBU's offerings have been deployed to help secure and optimize operations for a broad range of mission-critical applications. PSBU's customers include banks, utility companies, airports, seaports, city centers and transportation systems, as well as venues hosting sporting events and major tourist attractions.
This is the second division NICE Systems has sold in as many months. In July, NICE Systems completed the sale of its intelligence and cyber division to Elbit Systems Ltd. (Nasdaq: ESLT; TASE: ESLT) for $118 million.
NICE Systems, managed by CEO Barak Eilam, provides software solutions for managing customer relations and risks. NICE said that the sale of its division to Elbit Systems was designed to enable NICE to continue its multi-year strategic plan, and to focus on its core markets and business model.
Published by Globes [online], Israel business news - www.globes-online.com - on August 3, 2015
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