G4S plc UK DK : G4S plc UK DK : Disposal
5 March 2013
Proposed Divestment of G4S Government Solutions, Inc. (USA)
G4S, the international security solutions group, today announces that,
following a strategic business review, it has decided to divest its US
Government Solutions business.
G4S Government Solutions, Inc. provides security, fire protection, facilities
management, training and mine clearance services to US Government
organisations including the Departments of Energy, Homeland Security and
Defense in addition to international organisations such as NATO and the United
Nations, both within the United States and overseas.
G4S Government Solutions operates sensitive Government contracts requiring
high level security clearances and is therefore managed under a proxy board
structure in order to comply with US national security regulations. The
company believes that an alternative parent would be able to create or add
more value to the business than G4S. As a non-US parent, with restricted
access to important commercial data, our ability to manage the business and
share best practice is severely limited.
In 2012, G4S Government Solutions, Inc. had annual revenues of around £400
G4S will retain its highly-regarded US commercial security business which
provides a broad range of security services and technology to commercial
companies and Government departments at a Federal, State and local level,
where high level security clearances are not required. The revenues of this
business, combined with G4S' other ongoing US operations totalled around £1.2
billion in 2012.
Houlihan Lokey has been appointed to manage the divestment process and it is
expected that the transaction will be completed within the next six months,
subject to all necessary approvals.
Helen Parris +44 (0) 1293 554400
Director of Investor Relations
Adam Mynott +44 (0) 1293 554400
Director of Media Relations
Notes to editors:
About G4S Government Solutions, Inc.:
G4S Government Solutions, Inc. provides a range of security and related
services to the US Government and international organisations, many of which
are classified in nature and require high level security clearances to
Due to G4S plc being a non-US parent, the company is operated under a proxy
board structure to comply with US national security regulations on foreign
ownership, control and influence (FOCI), which limits G4S' management
oversight of the business.
G4S is the world's leading secure outsourcing group, specialising in
outsourcing of business processes in sectors where security and safety risks
are considered a strategic threat.
G4S is the largest employer quoted on the London Stock Exchange and has a
secondary stock exchange listing in Copenhagen. G4S has operations in more
than 125 countries and over 620,000 employees.
For more information on G4S, visit www.g4s.com
This announcement is distributed by Thomson Reuters on behalf of Thomson
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(i) the releases contained herein are protected by copyright and other
applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of
information contained therein.
Source: G4S plc UK DK via Thomson Reuters ONE
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