Croma Security Strengthens South West Presence with TLS Security Systems Acquisition

Croma Security Solutions Group (LSE:CSSG) has expanded its UK footprint with the acquisition of TLS Security Systems, a family-run locksmith and access control business based in Taunton, Somerset. The transaction values TLS at up to £0.47 million, with an additional £0.20 million paid for its freehold retail premises. The deal has been funded entirely from existing cash resources, supported by instalment proceeds received from the earlier disposal of the Vigilant man-guarding business.

TLS generated revenue of £0.94 million and EBITDA of £0.11 million in the year ended 31 March 2025, with around 80% of turnover coming from commercial clients, including local authorities and healthcare providers. The acquisition establishes Croma’s first operational base in Somerset and increases the group’s network to 17 security centres, further strengthening its coverage across the South West of England.

Croma expects the integration to deliver operational synergies by combining TLS’s established local reputation and technical expertise in locksmithing and electronic security with Croma’s wider national platform. The move supports the group’s acquisition-led growth strategy and enhances service capabilities for both commercial and retail customers. Three of TLS’s owner-operators will remain with the business during the earnout period to ensure continuity.

From a market perspective, Croma Security continues to benefit from a stable financial position and supportive technical indicators. The shares trade on an attractive valuation, supported by a reasonable price-to-earnings ratio and a solid dividend yield. However, an elevated RSI suggests some near-term caution, highlighting the importance of continued focus on margin improvement and disciplined cash flow management.

More about Croma Security Solutions

Croma Security Solutions Group plc is an AIM-listed, technology-led security solutions provider with more than 50 years of specialist experience. The group delivers locksmith, fire and electronic security services to domestic and commercial customers and operates a nationwide network of security centres from its headquarters in Southampton. Serving sectors such as healthcare, education, leisure and utilities, Croma has focused its post-2023 growth strategy on acquiring and upgrading local locksmith businesses into modern security centres following the £6.5 million sale of its Vigilant man-guarding division.