Livingstone closed two deals for Directed
Livingstone is pleased to announce that it has closed two sales for Directed, LLC (“Directed” or “Company”). Livingstone acted as the financial advisor to Directed for both transactions.
Livingstone was engaged in mid-March to conduct an expedited sale process for Directed. Amid the unprecedented conditions posed by the COVID-19 pandemic, Livingstone ran a comprehensive, global, “virtual” sale process resulting in:
- The sale of Directed’s Remote Start & Security (“RSS”) and Connected Car Solutions (“CC”) businesses to VOXX International Corporation (NASDAQ: VOXX), a leading manufacturer and distributor of automotive and consumer technologies for the global markets
- The sale of Directed’s ignition interlock device (“IID”) business, Alcohol Detection Systems (“ADS”), to CST Holding Company, a portfolio company of Welsh, Carson, Anderson & Stowe (“WCAS”). In addition to ADS, CST Holding owns the nation’s largest ignition interlock brand, Intoxalock.
Directed CEO Bob Struble commented, “Livingstone were true professionals in helping us navigate a very challenging situation. They ran a great process and kept our team engaged and informed every step of the way. Their deep experience and tireless worked ethic led to a very successful outcome.”
“We needed to adapt to the environment, be creative and remain flexible to keep the process on track without being able to conduct typical meetings and diligence sessions due to the travel restrictions,” stated Andrew Bozzelli, a Partner with Livingstone. “To add to the complexity, both transactions were effectively carveouts with entangled resources and assets requiring the cooperation of not only the seller but both buyers to resolve the issues.”
Joe Greenwood, a Partner and Head of Special Situations with Livingstone, added, “In my career leading special situations transactions, I thought I had seen it all, but this situation was certainly unique. Every special situation transaction requires the collaboration of all stakeholders, and we are very pleased to have overcome the external elements to achieve a successful outcome for not only our client but the other stakeholders.”
These transactions represent two more successful transactions in the safety & security sector for Livingstone, following the sales of Hillard Heintze to Jensen Hughes, Cardiac Science to Aurora Resurgence, and LogicMark to NXT-ID.
These transactions represent two more successful transactions for Livingstone’s special situations group following the recent 363 sale of Arro Corporation to Mount Franklin Foods and the WI Statute 128 sale of United Milwaukee Scrap to Alter Trading.
Jeffrey Varsalone from G2 Capital Advisors served as the Chief Restructuring Officer to Directed. Potter Anderson & Corroon LLP served as legal counsel to Directed.
Directed is a world leader in automotive electronics, the largest North American designer and marketer of consumer-branded vehicle security and remote start systems, and a pioneer in the connected car space. Its products connect more consumers to their vehicles than anyone else on the planet. Directed markets its broad portfolio (sold under Viper®, Clifford®, Python®, Autostart®, AstroStart® and other brands) through leading national retailers and specialty chains.
About Alcohol Detection Systems:
Alcohol Detection Systems (ADS) is a leading ignition interlock company in the United States. IIDs are breathalyzers wired into a car’s electronics that prevents the engine from starting unless the person is sober.
Josh KrollVice President
- Los Angeles