Garda bid to take firm private approved
By The Canadian PressNews
MONTREAL — The Quebec Superior Court has approved a plan for Garda World Security to be taken private by a consortium formed by the cash logistics and security company's CEO and private equity firm Apax Partners.
The deal, which won shareholder approval last month, is expected to close in the fourth quarter after receiving regulatory approvals.
Shareholders will be paid $12 per share cash in a deal valued at $1.1 billion, including the assumption of $625 million of net debt.
About $300 million will be spent to buy out shareholders while the more than 25 per cent stake in the company owned by Cretier and senior management will be rolled over to the new entity.
The bid price represents a 30 per cent premium over the closing price of the shares on the day before the deal was announced Sept. 6, and 45 per cent premium to the 90-day volume-weighted average price of the shares.
Chief executive Stephan Cretier said the financial backing of Apax will strengthen Garda’s financial foundation and provide capital for its long-term growth and success.
Garda provides security, cash logistics and armoured truck services and airport screening in Canada, and protects embassies and oil and gas employees in dangerous areas like the Middle East.
It has 45,000 employees and has clients in North America, Europe, Latin America, Africa, Asia and the Middle East.
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