Canada based GardaWorld raises its takeover bid for G4S to £3.7bn

By Nikita Chaurasia  Date: 2020-12-04

Canada based GardaWorld raises its takeover bid for G4S to £3.7bn

Canadian security firm GardaWorld has reportedly increased its takeover offer for G4S, a UK outsourcing group, to £3.68bn in a final bid for its bigger competitor. Speaking of the offer, GardaWorld stated that it would pay 235p per share in cash, a 24% hike from its previous offer of 190p per share, which would value G4S at £3bn. In addition, the company has also reached an agreement with G4S pension trustees regarding the funding of £770m package for the pension scheme.

In September, after rejecting GardaWorld’s offer, G4S stated that the company, along with its financial and legal advisers, was seeking a higher bid and as such, urged the shareholders to take no action. It further stated that it was also in talks with another bidder Allied Universal. Seemingly, G4S rejected Allied’s offer of £3.25bn last month and now Allied has a deadline of 9th of December to make a final offer.

Commenting on the matter, Stéphan Crétier, chief executive and founder of GardaWorld stated that shareholders need to make a choice of either remaining invested in a company which consistently failed them as well as the community for several years or realizing their investment in cash at a substantial and attractive premium.

Crétier also added that G4S requires an owner-operator that is knowledgeable of the people orientated approach of the sector and has associated resources, expertise, and time required for addressing the challenges faced by business.

As per credible sources, G4S investors have until 16th of December to decide if they want to accept the final offer made by GardaWorld. Last month, G4S apparently stated that it would start dividend payments again and claimed that the group could likely to show a revenue growth between 4% to 6% a year if it remained independent.

However, the firm recorded a loss of £91m for 2019 after it was forced to write down the value of its cash handling business. Moreover, it had also announced the plans to cut over 1,000 jobs to save costs.

Source credits: https://www.theguardian.com/business/2020/dec/02/canadian-security-firm-gardaworld-raises-g4s-takeover-offer-to-37bn

About Author

Nikita Chaurasia     aeresearch.net

Nikita Chaurasia

An accomplished professional in the field of content development, playing with words comes naturally to Nikita Chaurasia. After completing her post-graduate MBA degree in Advertising and PR, Nikita worked across numerous content-driven verticals, undertaking diverse r...

Read More

More News By Nikita Chaurasia

1health to offer two types of COVID-19 testing kits to SkyWest Airlines

1health to offer two types of COVID-19 testing kits to SkyWest Airlines

By Nikita Chaurasia

Leading Testing as a Service (TaaS) provider, 1health, recently announced that it has partnered with SkyWest Airlines, a SkyWest Inc. subsidiary, to provide two types of COVID-19 tests to the airline’s personnel. Mehdi Maghsoodnia, CEO at 1hea...

FBI to remove backdoors from hacked Microsoft Exchange email servers

FBI to remove backdoors from hacked Microsoft Exchange email servers

By Nikita Chaurasia

Following the recent cyber-attack in the US, a court in Houston has reportedly authorized a new FBI operation to copy and eliminate backdoors from large number of Microsoft Exchange email servers across the country. During this hacking event, the hac...

France might ban short domestic flights to reduce its carbon footprint

France might ban short domestic flights to reduce its carbon footprint

By Nikita Chaurasia

French lawmakers recently came to a unanimous decision to ban domestic flights for distances that can be covered by train in over two-and-a-half- hours. The country aims to impose these restrictions in an effort to reduce carbon emissions, even as th...

Kavak secures USD 485 million in funding, eyes Latin America expansion

Kavak secures USD 485 million in funding, eyes Latin America expansion

By Nikita Chaurasia

Kavak, a Mexico-based used-car platform, has reportedly reached a valuation of USD 4 billion after securing USD 485 million during a new funding round. This makes it the fastest-growing as well as the most valued company in Latin America. The latest...

Zydus seeks DCGI approval for PegIFN drug to treat COVID-19 patients

Zydus seeks DCGI approval for PegIFN drug to treat COVID-19 patients

By Nikita Chaurasia

Indian pharmaceutical company Zydus Cadila is reportedly seeking approval from DCGI (Drug Controller General of India) for its PegIFN (Pegylated Interferon Alpha-2b), a hepatitis C drug, to treat COVID-19 patients, after its third phase of clinical t...