FS Invest will receive half of the consideration in cash and half in new shares in the enlarged G4S group which are expected to represent approximately 11% of G4S’s share capital. Shares in the enlarged G4S group will be traded on the stock exchanges in London and Copenhagen, and FS Invest’s shares in G4S will be subject to a lock-up restriction for nine months.

The board of directors of ISS and the owners believe that the contemplated transaction is strategically compelling and that it will create a global leader in integrated security and facilities services, with continued strong growth potential. The combined group will have more than 1 million employees in more than 130 countries and combined revenue of £15.9 billion in 2010. Around 25% of the combined revenue of the group will come from fast-growing emerging economies.

Ole Andersen, Chairman of the Board of ISS, commented:
“The combination of ISS and G4S is a good fit both industrially and culturally. Together they can increase their exposure to the significant growth opportunities in emerging markets and accelerate their efforts in the growing market opportunity for integrated facilities services. The corporate cultures complement each other and the highly competent senior management at both G4S and ISS will together create a strong and experienced team to lead the combined group.”

The combined group will be headed by G4S’ CEO and CFO. On completion, ISS’ current CEO Jeff Gravenhorst will join the G4S board of directors and will head up the combined European operations as Chief Operating Officer and Regional CEO Europe.

To conclude the transaction, approval is needed at a G4S shareholders’ meeting as well as from certain regulatory authorities.