Rentokil Initial PLC
07 March 2006
Rentokil Initial plc
7 March 2006
DISPOSAL OF MANNED GUARDING OPERATIONS IN THE UK
Rentokil Initial plc ('Rentokil') today announces that it has sold its UK manned
guarding business, Initial Security Limited ('ISL'), to MITIE Group PLC ('MITIE
'), a UK business support services organisation. The total consideration is
£74.8 million comprising £59.1 million for the equity of the business and net
debt of £15.7 million as at 25 December 2005.
ISL is a leading provider of manned guarding services in the UK, with some 6,000
security officers operating from a national network of 18 branches. For the
financial year to 25 December 2005 it had a turnover of £130.7 million and
generated a profit before tax of £4.5 million.
Doug Flynn, Chief Executive of Rentokil Initial, commented:
'The sale of ISL reflects our continued focus on those areas of our business
where we believe we can generate the greatest shareholder value. ISL is a high
quality business with a good market position and a strong management team;
however, we believe that MITIE should be better able to realise its full
potential.
We continue to explore the possible disposal of our manned guarding operations
in North America and Belgium'.
Ends
Enquiries
Lisa Williams, Rentokil Initial plc
Telephone: +44 (0)20 7866 3000
Mobile: +44 (0)7980 895419
Kate Holgate, Brunswick Group
Telephone: +44 (0)20 7404 5959
Note to Editors:
Rentokil Initial plc is one of the largest business services companies in the
world, operating in all the major economies of Europe, North America, Asia
Pacific and Africa. The company has some 90,000 employees providing a range of
support services in over 40 countries where the 'Rentokil' and 'Initial' brands
have come to represent innovation, deep expertise and consistent quality of
service. Services include pest control, tropical plants, hygiene services,
facilities services, electronic security and parcels delivery.
This information is provided by RNS
The company news service from the London Stock Exchange
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