ISS pest control operations in Austria, Belgium, Denmark, Germany, Italy, the Netherlands, Norway, Portugal, Spain and Switzerland are also part of the acquisition, as well as Washroom services in Italy, for an enterprise value of DKK 2 billion.
As part of the transaction ISS and Anticimex have agreed on a strategic partnership covering the 12 countries in which ISS’ activities are acquired, where Anticimex will become the preferred partner for the delivery of pest control and washroom services to ISS customers. For ISS the divestment reflects an increased strategic focus in the affected countries resulting in a more focused business platform which contributes to the continued deleverage of ISS.
The combined group, to be named Anticimex – and operating as “Flick – powered by Anticimex” in Australia, will have more than 3,000 employees serving around 2.2 million customers. In 2012, the combined pro-forma sales amounted to approximately SEK 3.2 billion.
“The combination of Anticimex and the ISS pest control and washroom activities we have acquired creates an international company and is a perfect match between two specialist companies that share the same business philosophy, local entrepreneurship and focus. We look forward to building on our strong market positions and leveraging our leading know-how, quality services, methods and values.”
“We are also very happy to have agreed on a strategic partnership with ISS giving access to ISS clients and look forward to becoming an even more interesting partner for insurance companies and other partners and clients in Anticimex markets,” comments Olof Sand, CEO of Anticimex.
“As part of our journey to become the world’s greatest service organisation we are increasingly streamlining and strengthening our business platform. Ahead of our discussions with Anticimex we carefully considered our ownership of the pest control and washroom activities in the relevant countries. As we concluded the review it was clear that our pest and washroom business in these countries was not central to our strategy going forward and that Anticimex would be in a better position to realise the full potential of these activities. Through the strategic partnership with Anticimex we will continue to offer our customers in these markets high-quality services,” said Jeff Gravenhorst, CEO of ISS A/S.
“As outlined in The ISS Way Strategy we will use the proceeds from this divestment to further deleverage ISS. In addition, as a consequence of this divestment, the ISS management in the affected countries will be able to further strengthen focus on those activities which are core to their local business platforms,” Gravenhorst continued.
ISS has grown its pest control operations via acquisitions since 2002, with leading positions in Australia and New Zealand and one of Europe’s largest providers of pest control. The business is primarily focused towards the commercial sector but also serves the residential sector, especially in Australia and Italy.
ISS washroom business has a large and loyal customer base in Australia and in Italy and thousands of clients ranging from high-quality restaurants and hotels to commercial buildings and industrial facilities. These relationships are set to continue, under the new partnership with Anticimex. After the transaction, ISS will continue to have material pest control and washroom activities, primarily in emerging markets.
The transaction is subject to approval from the relevant authorities and is expected to close at the end of May 2013.
Anticimex was founded 1934 in Sweden and has since then enjoyed 77 years of uninterrupted growth. Anticimex is today a leading Northern European service company providing safe and healthy indoor environments through inspections, guarantees and insurance. Services include pest assurance, hygiene assurance, dehumidification, fire protection as well as property inspections and energy surveys.
The company serves around 2 million customers within both the commercial and residential sector and has an exceptionally strong brand with a unique market position, a loyal customer base and a successful business model. Anticimex has its own distribution channels as well as franchise networks and partners such as insurance companies and real estate agents and is headquartered in Stockholm, Sweden.