French buyout firm Wendel to buy AlliedBarton Security Services for $1.67 bn
30 Jun 2015
French buyout firm Wendel today struck a deal to buy US-based AlliedBarton Security Services from private equity firm Blackstone Group for $1.67 billion.
Under the terms of the deal, Wendel will make an equity investment of about $670 million for a 96-per cent stake in the company, with its AlliedBarton's management team owning the rest.
AlliedBarton is a leader in the US security services market providing physical guarding and related services to a diversified group of more than 3,300 customers in the commercial real estate, higher education, healthcare, financial services, government services, aerospace and defense, petrochemicals and retail industries.
Founded in 1957 and based in Conshohocken, Pennsylvania, AlliedBarton has more than 60,000 employees and generated revenues of approximately $2.18 billion for the twelve months ended 31 March 2015.
The market for outsourced security officer services in the US is estimated to be over $20 billion. Over the years, AlliedBarton said that it has transformed from a regional player to an industry leader with a national presence.
''AlliedBarton is a world-class franchise with a tremendous reputation for integrity and reliability and a very impressive management team, led by Bill Whitmore,'' said Frédéric Lemoine, chairman of Wendel.
''Their long term investment philosophy and successful track record of building world-class companies will help AlliedBarton continue its extraordinary growth and achieve the next level of success,'' he added.
Wendel is one of Europe's leading listed investment firms. The Group invests internationally, in companies like Bureau Veritas, Saint-Gobain, Materis Paints, Stahl, IHS and Constantia Flexibles.