Thrive Holdings to Buy ADT in $15.3 Billion Transaction
The security-services company would pair ADT’s more than 150 years of security experience with Thrive’s long-term capital and engineering.
Thrive Holdings agreed to acquire ADT Inc. (ADT) in an all-cash transaction valuing the security company at approximately $7.6 billion in equity value and $15.3 billion in enterprise value.
Shareholders will receive $10.00 a share in cash, a 45.6% premium to ADT’s unaffected closing price of $6.87 on October 27, 2026. The deal is expected to close in the first quarter of 2027, subject to customary conditions including approval by ADT’s stockholders and U.S. antitrust clearance.
The combination would pair ADT’s more than 150 years of security experience, nationwide service network and customer trust with Thrive Holdings’ long-term capital and engineering capabilities, the companies said.
“Our leadership in security is based on a legacy of trust, longstanding customer relationships and the dedication of our employees. With Thrive Holdings’ long-term capital and technology expertise, ADT will gain new opportunities to accelerate innovation, enhance the customer experience and bring greater peace of mind to even more homes and businesses.”
ADT, a leading provider of security, interactive and smart-home solutions for U.S. residential and small-business customers, reported second-quarter 2026 revenue of $1.3 billion, up 2% from a year earlier. End-of-period recurring monthly revenue was $360 million, gross revenue attrition was 13.1%, and revenue payback was 2.3 years. GAAP income from continuing operations was $155 million, or $0.19 a diluted share. Adjusted income from continuing operations was $180 million, or $0.23 a diluted share.
Cash generation remained a feature of the quarter. Net cash provided by operating activities was $666 million, up $102 million. Adjusted free cash flow, including interest-rate swaps, was $406 million, up $133 million. In the first half of the year the company returned $684 million to shareholders through share repurchases and dividends.
The company said it continued to expand the ADT+ platform, advance proprietary ambient-sensing technology, and launch ADT Blu, a self-installed security solution sold through channels including Amazon. It also scaled AI-powered customer-service tools and joined the Connectivity Standards Alliance board.
In the second quarter ADT repurchased and retired 68 million shares for $478 million, including 29 million shares tied to a secondary offering of 102 million shares by Apollo, after which Apollo no longer owned common stock. The company also completed a bulk purchase of about 10,000 customer accounts for $18 million in cash.
On August 28, 2026, ADT subsidiaries incurred $100 million of incremental first-lien senior secured term A loans under an amended term-loan credit agreement with Fifth Third Bank as administrative agent. After the incurrence, $520.3 million of first-lien term A loans were outstanding. Proceeds were to be used for general corporate purposes.
The cash purchase price and the first-quarter 2027 close remain the operative terms as ADT stockholders and U.S. antitrust regulators weigh the combination of a long-established monitoring franchise with Thrive’s capital and engineering platform.
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