Blackstone Acquires Global Smart Access Company

The start-up and mergers and acquisition space for smart access and smart buildings continued its hot pace today with The Chamberlain Group, a global provider of smart access solutions, announcing that it has been purchased by private equity funds managed by Blackstone.

The Chamberlain Group’s owner, The Duchossois Group, Inc. has entered into a definitive agreement for a transaction expected to close by the end of 2021, subject to regulatory approvals and customary closing conditions.

The Chamberlain Group is best known for its brands LiftMaster, Chamberlain, Merlin and Grifco, found in millions of residential and commercial access applications across the globe.

Following the close of the transaction, Chamberlain Group would remain a privately held company headquartered in Oak Brook, Ill. As part of the agreement, The Duchossois Group will retain meaningful ownership in the Company and two seats on the Company’s Board of Directors following the close of the transaction. The transaction values Chamberlain Group at approximately $5 billion.

With its transformational myQ® platform, which brings access to life by empowering new behaviors, the investment from Blackstone will position Chamberlain Group to capitalize on connectivity megatrends and expand its software services strategy deeper into commercial, industrial and automotive markets.

Smart home and smart access have been particularly prominent in multifamily housing, with start-up companies such as iApartments and Quext joining the field with improved, cost-cutting technologies introduced this year. 

Established player SmartRent this year went public through a proposed merger with Fifth Wall Acquisition Corp. I (FWAA), a publicly traded special purpose acquisition company (SPAC). A year ago, Reportlinker estimated the smart home market for apartments at $2 billion.

A leading global investment firm, Blackstone is expected to provide additional resources and expertise for Chamberlain Group to scale its software-based and connected services business into new markets. Chamberlain Group will build on its leading presence providing high-quality access hardware and seamless, cloud-driven solutions that move customers safely through their garages, homes, communities, businesses and storage facilities. 

Seth Meisel, a Senior Managing Director at Blackstone, said, “Chamberlain Group stands at the center of several secular mega trends — including U.S. housing and e-commerce — that are key thematic investment areas for Blackstone. We are excited to invest in this business and its further expansion into connected homes, businesses, and communities alongside Chamberlain Group’s impressive management team.”