17th Jul 2014 08:06
LONDON (Alliance News) - Security and outsourcing group G4S PLC said Thursday that it has agreed to sell G4S Sweden to Sector Alarm in a GBP37.4 million deal, including cash and debt.
The company said the disposal is part of the company's restructuring programme to restructure its portfolio as it works to improve its strategic focus, capital discipline and returns.
"We have implemented a number of operational improvements in G4S Sweden in the last 12 months, and this sale realises an attractive premium for shareholders while providing customers and employees with the prospect of a sustainable business in Sweden," said Ashley Almanza, G4S Group CEO.
G4S Sweden provides manned security and security systems to customers across Sweden.
In May G4S said it had performed in line with its plans during the first quarter of 2014, boosted by contract wins with annual revenues of more than GBP440 million, with revenues up 4.8% on the first quarter in 2013 with organic growth up 5.0%.
In April the firm was boosted by the UK governments positive assessment of its Corporate Renewal Plan - an integral part of the group's wider corporate transformation plan. The UK Government accepted that the security firm's corporate renewal plan was showing a move in "the right direction." The Cabinet Office said that following "material concerns" that emerged last year, relating to overcharging on Ministry of Justice electronic monitoring contracts, G4S has "engaged constructively with the Government."
Shares in G4S were Thursday trading flat at 259.70 pence per share.
By Alice Attwood; [email protected]; @AliceAtAlliance
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