OpenAI-backed Thrive Holdings agrees to buy ADT in $15.3 billion deal

ADT has agreed to go private under an owner backed by OpenAI, pairing its nationwide security operation with Thrive Holdings’ engineering teams and long-term capital. The October 29 agreement values ADT at approximately $15.3 billion in enterprise value. It is a proposed change of ownership—not a completed takeover or an AI product launch.

Shareholders would receive $10 per share in cash when the transaction closes, putting the equity value at approximately $7.6 billion. ADT says that price represents a 45.6% premium to its October 27 closing share price of $6.87. Its board unanimously approved the agreement, although shareholders and U.S. antitrust authorities still need to approve it.

An established security network, a patient-capital pitch

The companies bring different assets to the proposed combination. ADT contributes more than 150 years of security experience, a nationwide service network and more than 12,000 employees. Thrive describes itself as a permanent-capital holding company, structured to own and operate businesses over a long horizon rather than within a fixed investment period.

Thrive already includes more than 75 businesses across accounting, IT services and the built environment. After closing, ADT would become the foundation of its smart home security business. The stated approach is to put Thrive engineers alongside ADT professionals to identify ways technology could improve products, services and customer support.

ADT’s management would remain central to that effort: Thrive says it intends to support the team’s pursuit of long-term growth through investment in people, products and services. The companies argue that private ownership and sustained capital would give ADT greater flexibility to develop new offerings. Those are expected benefits, not demonstrated results of the transaction.

We intend to build on that foundation by strengthening ADT’s technology and product capabilities, with the capital and patience to invest over decades.

Kareem Zaki, partner at Thrive Holdings

The OpenAI connection is not an ADT product roadmap

OpenAI is both an investor in Thrive Holdings and a technology partner, TechCrunch’s Julie Bort reported. The partnership supplies Thrive’s companies with AI models, technology and forward-deployed engineers—engineers who work directly with businesses on implementation. That relationship explains the deal’s AI relevance, but it does not itself specify what ADT customers would receive.

Neither company announced specific new AI-powered security products. Zaki instead described an ambition to offer more seamless service and give responding professionals more actionable information. The announcement leaves the eventual product design open while committing engineering resources to finding opportunities within ADT’s existing operation.

For customers, the companies made a more concrete commitment on data: ADT’s data protection and privacy policies will remain unchanged, and no new data sharing will occur without customer permission. Thrive also pledged to uphold ADT’s privacy and cybersecurity standards as it invests in the business.

A signed deal, with room for another bidder

The companies expect closing in the first quarter of 2027. Until then, ADT will operate independently. If the transaction is completed, it will become privately held and its common stock will stop trading on the New York Stock Exchange. The merger agreement also preserves a window for competing offers:

• ADT may solicit third-party proposals through November 28, 2026, with a possible 10-day extension for certain bidders.
• It can terminate the agreement to accept a superior proposal, subject to the merger agreement’s terms.
• Funds managed by Apollo affiliates supplied all financing commitments. The transaction is not subject to a financing condition.