Acquisition

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
UK 100