Global facility services provider ISS, has today completed the sale of its commercial security activities in Australia and New Zealand to Wilson Security.
ISS is a leading provider of airport security services in Australia, with contracts covering 13 airports in the region.
Although letting go of its commercial security division, the firm says it will continue to provide security services at major airports in Australia, where it sees “a strong potential” for its integrated facility service offering.
Wilson Security, a leading provider of integrated security, emergency and medical, mobile patrol and response services in Australia and beyond, acquired the commercial security operations of ISS in Australia and also its entire First Security business in New Zealand as part of its growth strategy.
Mr John McMellan, CEO Australasia, Wilson Security, said:
“This transaction not only cements our number one position in Australia it also enables us to also take the leading industry position in New Zealand, where we see further opportunity for growth.”
The revenue of today’s sale, which was originally announced 8 January 2014, was DKK 832 million (£92m). ISS intends to use the net proceeds of the sale, approximately DKK 110 million (12m), for further deleveraging of the company.
Earlier this month the global facility management (FM) firm successfully listed on Copenhagen’s Nasdaq OMX. The Danish firm expected to raise DKK 8 bn (£878m) from the Initial Public Offering, the proceeds of which was also earmarked to pay down debt.
Thomas Hinnerskov, Regional CEO, ISS Asia Pacific, commented:
“We are very satisfied that we have completed this transaction according to plan. This will support and further align our business platform in the Pacific Region, strengthen focus on our core activities, and accelerate the execution of our global strategy. We remain committed to delivering security services in airports where we see a strong potential for our Integrated Facility Services.”
As of 31 March 2014, ISS’ divestment activities comprise its landscaping activities in France, pest control activities in India, security activities in Israel, HVAC activities in Belgium and the commercial security activities in Australia and New Zealand.