Securitas, hot on the heels of the acquisition of Reliance Security Services has agreed with UTC Fire & Security to acquire the security services company Chubb Security Personnel Limited in the United Kingdom. Enterprise value is estimated to £31 million. Annual sales of approximately £113 million and approximately 5,000 employees, Chubb Security Personnel is a leading manned guarding security services provider in the United Kingdom. The company has a well-diversified contract portfolio with a stable customer portfolio within guarding.
In November 2010, Securitas acquired Reliance Security Services. With the acquisition of Chubb Security Personnel, Securitas will strengthen its position as one of the largest security services companies in the United Kingdom, with approximately 17,500 employees.
The acquisition is expected to contribute positively to the earnings per share of Securitas as of 2012. Restructuring costs of in total approximately £28 million are expected in 2011 and acquisition related transaction costs of £1 million are expected in the first quarter of 2011. The acquisition will dilute margins in Security Services Europe during coming years.
“The acquisition will materially strengthen our operations in the United Kingdom both in terms of customer base and national coverage”, says Alf Göransson, Securitas President and CEO.
The acquisition is subject to customary closing conditions and approval from the United Kingdom Office of Fair Trading, which is expected to be completed in the first quarter of 2011.