MITIE Group PLC
28 March 2006
MITIE Group PLC ('MITIE' or 'the Company')
Trading statement
MITIE Group PLC is pleased to confirm that it has had a good second half to its
financial year and that it continues to trade in line with management's
expectations. Market conditions remain positive.
Two acquisitions were completed during the period. On 17 February 2006 MITIE
acquired Lyndhurst Services Limited. Lyndhurst provides external grounds
maintenance services to commercial property sites across England, Scotland and
Wales and employs over 240 people. On 7 March 2006 MITIE acquired the entire
issued share capital of Initial Security Limited (Initial Security UK), being
the UK manned guarding business of Rentokil Initial plc. Initial Security UK is
a leading supplier of security services, providing contract guarding, aviation
security, patrol and alarm response services and key holding to a wide range of
government, commercial, industrial and retail clients on over 2,000 sites.
Initial Security UK employs over 6,000 staff in 18 branches across the UK.
Following the acquisition MITIE Security is now the second largest manned
guarding business in the UK employing over 9,000 officers. MITIE is in the
process of integrating Initial Security UK with its existing security business.
MITIE has been awarded three substantial contracts in 2006. In January MITIE was
awarded a contract to manage PricewaterhouseCoopers document management and
distribution services for the firm's UK operations. The contract will start in
May 2006 and is for an initial term of five years and is valued at approximately
£50m.
As reported in our interim results statement for the six months ended 30
September 2005 MITIE has made a substantial investment in the social housing
market. This investment has produced good results to date and the Property
Services business has recently secured two major contracts:
MITIE was named as preferred provider by Birmingham City Council for a contract
worth in excess of £90m over four years with an option for the Council to extend
the contract for an additional three years. The contract will commence on 1
April 2006 and will cover the repair and maintenance of housing in the City
South area. It covers 27,000 properties and involves over 80,000 repairs per
annum. MITIE is also currently mobilising a contract with Milton Keynes Council
to provide responsive and void property repairs to all 12,000 of its homes. The
five year partnering contract will start on 1 April 2006 and is estimated to be
worth in excess of £25m with an option for the Council to extend for an
additional five years.
As announced on 23 January 2006 Suzanne Baxter will join the Board as Group
Finance Director with effect from 10 April 2006. Following Mrs Baxter's
induction to MITIE, Ruby McGregor-Smith will relinquish her responsibilities as
Group Finance Director and focus on her role as Chief Operating Officer of
MITIE.
MITIE will report more fully when it announces its preliminary results for the
year ending 31 March 2006 on Monday 22 May 2006.
28 March 2005
For more information please contact:
Ian Stewart, Chief Executive, MITIE
Tel: 0117 970 8800
Ruby McGregor-Smith Chief Operating Officer, MITIE
Tel: 0117 970 8800
John Telling, Head of Corporate Affairs, MITIE
Tel: 020 7089 2500
Mob: 07979 701006
This information is provided by RNS
The company news service from the London Stock Exchange
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