Security 101 Accelerates Northeast and Data-Center Push by Acquiring ISSI

In a significant strategic move, Security 101 has acquired Integrated Systems & Services, Inc. (“ISSI”), a long-standing security integrator based in Eatontown, New Jersey. The deal not only gives Security 101 a stronger presence in the competitive New York–New Jersey corridor but also brings in ISSI’s proven capability in mission-critical security - particularly for data centers and other high-security facilities.

Deal Summary

• Buyer: Security 101, a nationwide provider of commercial security solutions, backed by Gemspring Capital.
• Target: Integrated Systems & Services, Inc. (ISSI), a New Jersey-based integrator founded in 1993.
• Business Focus: ISSI delivers a full suite of electronic security systems—including access control, video surveillance, perimeter protection, intrusion detection, intercoms, emergency communications, locking systems, and AV.
• Geographic Footprint: ISSI serves enterprise clients across the Northeastern U.S., with deep roots in the New York–New Jersey metro.
• Strategic Rationale: Security 101 sees ISSI as a culture-aligned partner with complementary technical strengths. ISSI’s leadership team - President John W. Fluta, VP William Giehler, and GM John J. Fluta - will stay on, ensuring continuity for existing customers.
• Ownership: Security 101 operates under Gemspring Capital, a firm focused on middle-market growth companies across business services and technology-enabled sectors.

Industry Context

This transaction reflects a broader wave of consolidation in the security integration market. Many integrators with strong regional reputations are being absorbed by national platforms to achieve scale, improve efficiency, and standardize advanced services. The demand for high-security solutions - especially for data centers, healthcare, and critical infrastructure - is rising, making firms like ISSI attractive targets.

Additionally, regulatory and compliance requirements in life-safety and access control mean security integrators benefit from recurring service and maintenance contracts. Platforms that combine integration, managed services, and enterprise-grade execution are increasingly well positioned to win large, multi-site clients.

Lower-Middle-Market Roll-Up Perspective

From a roll-up standpoint, this deal highlights several strategic levers:

1. Regional Density Build: By acquiring ISSI, Security 101 deepens its presence in one of the U.S.'s most complex and high-growth security markets.
2. Legacy Respect + Continuity: Keeping ISSI’s leadership ensures client relationships stay intact, minimizing disruption.
3. Technical Capability Enhancement: ISSI’s expertise in high-security environments aligns with Security 101’s broader ambition to deliver complex, tailored integration solutions.
4. Scalable Platform: Integrating ISSI allows Security 101 to leverage its national infrastructure - procurement, training, operations - across a higher-skilled workforce.
5. PE-Enabled Growth: With Gemspring’s capital, Security 101 can continue executing add-ons strategically, rather than scaling only by greenfield expansion.

Security 101 has been on an acquisition tear: prior deals include integration firms in Texas and Denver, and other specialized systems integrators.

Why This Sector Is Attractive for Roll-Ups

• Fragmented Landscape: There are many regional integration businesses with strong local reputations but limited scale.
• Recurring Revenue Structure: Lifetime service contracts and ongoing maintenance create a stable cash base.
• High Technical Barriers: Supporting mission-critical environments (data centers, hospitals) requires specialized know-how and systems.
• Optimization Opportunities: Consolidated platforms can centralize training, supply chain, and operations.
• Capital Market Interest: PE firms remain interested in platform plays that combine integration, managed services, and recurring service models.

Conclusion

Security 101’s acquisition of ISSI is a well-executed move to bolster both its technical depth and regional reach. For Security 101, the deal accelerates its growth in a key market. For ISSI, it means access to a broader resource base while preserving its operational identity.

For investors and security integrator owners, this acquisition offers a clear blueprint: align with a platform that values legacy, invest in technical excellence, and scale through disciplined M&A to build a differentiated national business.