Information security company Shred-it and storage and information management services provider Iron Mountain have signed deals which will see an exchange of business operations between the two companies.
Shred-it International UCL has signed an agreement to acquire Iron Mountain International’s secure shredding business in the UK, Ireland and Australia, which includes eight shredding plants and approximately 90 mobile shredding units across the three countries. The sale value is approximately US$29.8 million.
Whilst Securit Records Management Inc., an affiliate of Shred-it International ULC, has announced a deal has been agreed to sell its records management business to Iron Mountain, Ltd for approximately US$29 million.
The sale affects nine Canadian facilities located in: Vancouver, Calgary, Edmonton, Winnipeg, Oakville, Cambridge, Ottawa, Montreal and Halifax. Shred-it will continue to own, operate and grow its substantial information destruction business in Canada.
Commenting on the secure shredding business deal, Shred-it EVP of EMEA Robert Guice said:
“This is a strategic opportunity for Shred-it and this acquisition would allow us to leverage existing infrastructure to better provide an enhanced service offering and expand our customer base in key EMEA markets. Further, going forward, Shred-it and Iron Mountain will work together to provide seamless support for shared customers in these regions. Acquisitions will continue to play an important role in Shred-it’s corporate plans complementing organic growth and extending our brand on a global basis.”
This past decade has been one of tremendous growth and success, as the organisation has increased the pace of its acquisitions. In the past four years, the company has acquired 28 secure destruction companies.
Commenting on the records management business sale, Shred-it President and CEO Vince De Palma said:
“This sale will enable us to redirect our resources and capital to our core information destruction businesses and focus on our long term strategy, which in 2015 will continue to be driven by new acquisitions and organic growth. We remain highly committed to growing Shred-it’s information destruction business in Canada and globally, which continues to perform well.”
Both transactions are expected to close before the end of the year, subject to customary and other closing conditions.