Canadian Security Magazine

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Garda World outbid by U.S. rival Allied for British security firm G4S



MONTREAL — Quebec-based security firm Garda World has been outbid in its effort to acquire British competitor G4S by a U.S. company partially owned by the Caisse de depot et placement du Quebec.

The deal announced Tuesday calls for Allied Universal to offer 255 pence for each of the London-based company’s shares in an offer valued at around C$6.7 billion. The directors of G4S intend to recommend that shareholders accept this offer.

The announcement comes as Montreal-based Garda World decided last week to increase its hostile bid by 24 per cent, to 235 pence per share, in a proposal valued at C$6.3 billion and presented as final.

In recent months, the board of directors of G4S had repeatedly rejected Garda’s overtures in which it directly courted shareholders through a hostile offer.

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Garda has not commented on the agreement between G4S and Allied and whether it plans to increase its own proposal.

The combination of G4S and Allied would have US$18 billion in annual revenues.

“The combination of G4S and Allied will result in the creation of a world leader in security with more than 750,000 employees and an unparalleled presence in the market,” G4S chief executive Ashley Almanza said in a statement.

This report by The Canadian Press was first published Dec. 8, 2020.

News from © Canadian Press Enterprises Inc. 2020.