Brazos Private Equity Makes Two Acquisitions

Brazos Private Equity Partners has made two acquisitions in the electronic security distribution space: Woodbury, N.Y.-based Tri-Ed Distribution, a provider of security systems and low-voltage products; and Rocklin, Calif.-based Northern Video Systems Inc., a wholesale distributor of security, surveillance and network infrastructure products. The two companies will be combined. No financial terms were disclosed.

PRESS RELEASE

Brazos Private Equity Partners, LLC, a leading Dallas-based private investment firm, today announced the acquisition of two electronic security distribution companies, Tri-Ed Distribution, the leading source for security systems and low voltage products in North America, and Northern Video Systems, Inc., a leading wholesale distributor of security, surveillance and network infrastructure products. Financial terms of the transactions were not disclosed.

The two companies will be combined and will operate as Tri-Northern Security Distribution, Inc., under the leadership of Steve Roth, an industry veteran who has served as President and Chief Executive Officer of Tri-Ed since 2005. This powerful combination establishes a dynamic sales, marketing and logistics organization with world-class service and efficiency for customers and suppliers.

The combined company will be one of the two largest distributors of electronic security systems and products in North America. The acquisitions are being made from Brazos Equity Fund III, which closed in September 2008 with capital commitments totaling more than $700 million.

Randall Fojtasek, Co-Founding Partner of Brazos, said: “These transactions represent an opportunity to create a leading distribution company serving the large and growing North American electronic security market. Tri-Ed and Northern are already well-established leaders in their niches, and we look forward to working closely with the management team of the combined company as they build upon each unit’s respective strengths to deliver additional value for customers, employees, suppliers and other stakeholders.”

The combination of Northern, based in Rocklin, California, and Tri-Ed, based in Woodbury, New York, brings together two of the largest entities in security distribution with a combined 41 sales offices and the most comprehensive offering of Intrusion, Video, Access, Fire and Sound and Communications solutions anywhere in the U.S. and Canada. Security dealers will have the benefit of a highly efficient, economical and customer-focused delivery system.

“We firmly believe that this new entity will provide a more significant distribution solution for the security industry,” Mr. Roth said. “The synergies and scale of the Tri-Ed and Northern combination are substantial, and together they will provide an ever-increasing value proposition to our customers and suppliers.”

Mark Haney, President and CEO of Northern, said, “Not only will this combination better support our dealers’ needs today, but also assist with their growth into new product areas and technologies long into the future.”

Tri-Ed and Northern will retain their organizational identity, company locations and executive leadership. The senior management at both organizations will assume leadership roles as well as equity positions in the new entity. Steve Roth will assume the role of Chief Executive Officer, Mark Haney will serve as President, Pat Comunale as Chief Operating Officer, Paul Haney as Executive Vice President, and Brian James and James Rothstein as Senior Vice Presidents.

Imperial Capital initiated this transaction and served as exclusive financial advisor to Tri-Ed Distribution as well as serving as a financial advisor to Northern Video Systems.

About Brazos Private Equity Partners, LLC

Brazos Private Equity Partners is a Dallas-based private equity firm that manages approximately $1.4 billion of equity capital. Brazos focuses on investments in middle-market companies with enterprise values up to $500 million. Brazos seeks to partner with outstanding management teams and/or families of closely-held businesses to maximize value. Brazos has been one of the most active middle-market private equity investment firms over the past decade, having completed 50 acquisitions, including 19 platform investments. Brazos has invested in a broad range of industries including distribution, consumer, business services, restaurants, healthcare, financial services and manufacturing.

For additional information about Brazos, please visit the firm’s website at www.brazospartners.com.