Optic Security Group — NZ operations
Electronic + physical security services roll-up; IT/cyber arm trades as Optic Digital
Carve-out
Parent
Frosh Private Equity Limited → Arena Optic Security Investor SPV, LP (US PE)
Sector
Services
Business type
Security services
Business model
B2B
Location
NZ — Auckland HQ (Ellerslie); Optic Digital in Wellington + Auckland. Australian operations excluded.
FY end
31 March 2025
The signal
Frosh, the US-PE-owned Optic Security roll-up, is under financial pressure: an FY25 covenant breach, a NZ$15.08m Australian-bank facility that matured Dec 2025, revenue down 20.5%, a NZ$7.72m net loss, and a going-concern material uncertainty from RSM. Arena is still funding the turnaround rather than exiting, so the realistic angle is a non-core carve-out to de-lever — most likely the Optic Digital IT/cyber arm, or possibly the wider NZ security operation split from the excluded Australian business. This is an inference from the accounts.
Financial snapshot
| FY24 | FY25 | |
|---|---|---|
| Revenue | 74.60 | 59.27 |
| EBIT | (0.86) | (5.67) |
| Net current liabilities | (17.82) | (23.35) |
| Bank facility (current) | 13.78 | 15.08 |
| Arena related-party loans | 1.62 | 5.80 |
| Goodwill (not impaired) | 35.16 | 35.16 |
| Net assets | 29.81 | 23.38 |
General information
| Accountant | RSM Australia Partners (J Croall, Melbourne) |
| Lawyer | Simpson Grierson (registered office, 88 Shortland St, Auckland) |
| Banker | Major Australian trading bank |
| FY end | 31 March 2025 |
| Currency | NZ$ millions |
FS verbatim
"The consolidated entity did not meet all the financial ratio requirements outlined in its facility agreement but all repayment covenants have been met. As a result of the covenant breach, the lending institution was contractually entitled to request immediate repayment of the outstanding facility. However, the lending institution has acknowledged the breach and has not requested early repayment."
FY25 FS p.27 — Note 18 Borrowings, Banking covenants
Key points
- Acquisition-built security roll-up, rebranded under a single Optic identity
- NZ legacy brands absorbed — Fortlock (locksmithing) folded into Optic, Comsmart rebranded as the Optic Digital IT/cyber arm (Wellington + Auckland)
- Aug 2024 — refinanced off BNZ onto an Australian trading bank; that facility matured Dec 2025
- Note 18 — covenant breach; the lender was entitled to call the facility but had not
- Arena related-party loans grew from $1.62m to $5.80m YoY — sponsor funding liquidity
Timeline
- 2018Optic roll-up formed from a merger of six Australian/NZ security + IT businesses; backed by Wraith Capital, with Arena a cornerstone lender.
- Aug 2022Frosh Private Equity Ltd incorporated as Arena's acquisition (bid) vehicle — no previous names.
- Oct–Nov 2022The original holdco, Optic Security Group Ltd, falls into voluntary administration; Arena buys the operating businesses out of it via Frosh — a distressed acquisition, not a tidy take-private.
- Aug 2025Frosh files its first set of financial statements (FY25) — the only set on the public register, which is why there is so little filing history.