G4S, the leading global integrated security company, announces today that it has completed the sale of G4S Utility Services, its UK multi-utility metering services business, to First Reserve, the majority shareholder in Morrison Utility Services Group, for £52 million paid in cash. Proceeds from the sale will be used for general corporate purposes.
In the year to 31 December 2015, G4S Utility Services generated profit before taxation of £8 million. At 31 December 2015 the business had gross assets of £48 million and net assets of £18 million.
As part of the transaction, senior management in G4S Utility Services will remain with the business at completion.
Commenting on the transaction, G4S Group Chief Executive, Ashley Almanza, said:
“The sale today of the utility business is part of the Group’s portfolio management programme which is greatly improving the Group’s strategic, commercial and operating focus. To date we have closed or concluded binding agreements to sell 32 businesses, with aggregate disposal proceeds of £433 million since the start of the programme in 2013.”
This announcement contains inside information and the person responsible for making this announcement is Peter David, Company Secretary.
Note 1: G4S Utility Services comprises the following companies: G4S Utility and Outsourcing Services (UK) Limited; G4S Assessment Services (UK) Limited; G4S Locks & Alarms (UK) Limited.