Rentokil Initial PLC
19 June 2000
RENTOKIL INITIAL MAKES £40M TEXTILE SERVICE ACQUISITION
IN GERMANY
Rentokil Initial, the global business services company,
today announces that, subject to regulatory approval, it
has agreed to purchase the share capital of Bilger
Schwenk AG, a Germany textiles services business. This
follows on from the company's successful entry into the
Germany textiles services market in 1999 through the
purchase of Adrett.
Bilger Schwenk, a privately owned company based in
Trossingen, near Stuttgart, has four laundries in the
south of Germany and one in Switzerland. In 1999 it had
turnover of DM81m (£26m).
The purchase consideration is DM99m (£33m) payable in
cash, and the assumption of debt of DM22m (£7m) to give a
total cost of DM121m (£40m).
Commenting upon this acquisition, Sir Clive Thompson,
Rentokil Initial Chief Executive, said:-
'As well as providing excellent bolt-on opportunities,
the purchase of Bilger Schwenk has the strategic
advantages of improving the company's geographic coverage
in Germany, and providing an entry into the Swiss textile
services market. It further enhances Rentokil Initial's
strong position in the European textile service market,
now with major operations in the UK, France, Germany,
Holland, Belgium and Spain.'
The company also announces the acquisition of six,
smaller, bolt-on acquisitions, within its tropical
plants, pest control, manned guarding and hygiene
activities in the USA, Belgium, Hong Kong and Australia.
With aggregate consideration of £2m these acquisitions
will add £3m to the company's turnover.
Press enquiries:
Sir Clive Thompson, Chief Executive
C T Pearce, Finance Director
01342 833022
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