SecurityWorldMarket

22/09/2020

G4S UK rejects £2.95 billion bid from Canadian rival

London, UK

G4S is urging its shareholders to dismiss and ignore offer attempts from privately owned Canadian security company, Gardaworld. The latest offer of 190 pence per share, was estimated to be valued by Reuters at 2.95 billion pounds and was unanimously rejected by the board of G4S as significantly undervaluing the company.

Established in 1995, and based in Montreal Canada, Gardaworld is the largest privately owned security services company in the world. The company offers security solutions and professionals to protect people, assets and reputation globally. Gardaworld employs around 102,000 trained and dedicated professionals serving clients in North America, Africa and the Middle East, including Fortune 500 companies and governments and it has also served in the UK for around 15 years.

According to reports Gardaworld has made various attempts to engage with G4S over the last three months, but without success, and now is urging G4S shareholders to take note of this latest offer of 190 pence per share.   

Reuters reports that G4S recently revealed it had already declined two previous offers in June for 145 pence per share and 153 pence per share each.

The Board at G4S believes that the timing of the proposals is highly opportunistic, coming as it does at a time of severe turbulence in global financial markets.

Earlier this year, we reported that G4S sold the majority of its conventional cash businesses for 727 million pounds to The Brinks Company, and the board  believes this move greatly enhances the group’s strategic, commercial and operational focus and strengthens further its financial position. It says that the company is increasingly well placed to deliver growth, profitability and substantial free cash flow and that the group’s resilient performance in the first half of 2020 provides confidence in the strategy and its execution.

Stephan Crétier, Founder, Chairman, President and CEO of Gardaworld, acknowledges that G4S is an important UK employer and a significant provider to both the public and private sectors, but said that he believes G4S "needs an owner not a manager." 


Tags

Product Suppliers
Back to top