Atlanta, GA-based industrial technology manufacturer Acuity Brands agreed to acquire QSC, LLC for $1.1 billion.

Terms of the transaction were not disclosed.

The net purchase price represents approximately 14x QSC’s EBITDA for the last 12 months ending Aug. 31.

Costa Mesa, CA-based QSC is a manufacturer of large, transformative audio, video and control (AVC) solutions, offering a cloud-manageable platform for various sectors, including: education, commercial, hospitality, government, healthcare and transportation. For the 12 months ending August 31, the company reported sales of around $535 million.

“In our Intelligent Spaces business, we are delivering meaningful outcomes for end users that are powered by disruptive technologies and that generate strong financial results,” Acuity Brands Chairman, President and CEO Neil Ashe said in an Oct. 24 news release. “QSC has built a differentiated cloud-manageable audio, video and control platform that controls what happens in a built space. Our acquisition of QSC builds on our vision of data interoperability as we continue to make spaces smarter, safer and greener.”

Acuity Brands plans to finance the transaction with $600 million from a term loan, using the rest from available cash on its balance sheet.

The deal is expected to be finalized in the second quarter of 2025.

Acuity 4Q and Full-Year Financial Results

Acuity released its full-year and 4Q financial results on Oct. 1

The company’s full-year total sales of $3.84 billion decreased 2.8% year-over-year from $3.95 billion in 2023.

Acuity’s full-year operating profit of $553.3 million increased $79.9 million from 2023. Operating profit as a percent of net sales increased 240 basis points compared to the prior year.

“Fiscal 2024 was a successful year of improved operating performance that delivered increased end-user satisfaction and financial results,” Ashe said in the company’s financial release.

The company reported total sales of $1.03 billion, a 2.2% increase year-over-year in the fourth quarter ending Aug. 31.

Operating profit was $157.0 million, an increase of $47.3 million year-over-year. Operating profit as a percent of total sales increased 430 bps.

Our fiscal 2024 fourth quarter performance was strong,” added Ashe. “We grew net sales in both Lighting and Spaces, delivered margin expansion and increased earnings per share.”