Rentokil Initial PLC
30 August 2000
RENTOKIL INITIAL MAKES £30M TROPICAL PLANT SERVICE
ACQUISITION IN USA
Rentokil Initial, the global business services company
announces that, subject to regulatory approval, it has
agreed to purchase the business and assets of TruGreen
Interior Plantcare, the second largest provider of
tropical plant services in USA, from the ServiceMaster
Company.
TruGreen Interior Plantcare, which, in 1999, had turnover
of US Dollars 42m (£28m), operates from branches in
twenty-four cities throughout the USA.
The maximum purchase consideration is US Dollars 45m
(£30m) payable in cash.
Commenting on this acquisition, Sir Clive Thompson,
Rentokil Initial Chief Executive, said:-
'This acquisition further consolidates Rentokil Initial's
leadership of the USA tropical plant services market. As
well as the excellent bolt-on opportunities provided by
the integration of twelve overlapping branches and the
divisional head office, the enlarged operation will enjoy
additional benefits arising from increased purchasing
power. Furthermore, the acquisition provides the
strategic benefits of taking Rentokil Initial into twelve
new cities and these, in turn, will offer opportunities
for further bolt-on acquisition as well as organic
growth.'
The company also announces the acquisition of Lavaplanch,
a textile services business in Spain, for some £2.2m,
which will add some £2.3m to the company turnover.
Enquiries:
Sir Clive Thompson, Chief Executive
R C Payne, Finance Director Designate
01342 833022
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