Morrisons owner CD&R hatches £2.5bn swoop on facilities management giants

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The backstage equity steadfast which past twelvemonth swooped to bargain the supermarket concatenation Morrisons is hatching an audacious program to bargain and merge 2 large players successful the planetary facilities absorption industry.

Sky News has learnt that Clayton Dubilier & Rice (CD&R) is successful talks to bargain important stakes successful Atalian Servest and OCS, which betwixt them employment adjacent to 200,000 radical astir the world.

City sources said the deals could unneurotic beryllium valued astatine astir £2.5bn, the bulk of which would beryllium accounted for by Atalian Servest.

Combining the 2 companies would make a planetary powerhouse successful facilities management, an manufacture successful which standard is captious to profitability.

One insider said that the takeovers were not definite to happen, but that CD&R was successful elaborate talks with some people companies and that it was conceivable that it could scope an statement with 1 oregon some wrong weeks.

Banks are said to person been approached astir providing concern for the deals.

CD&R has an extended way grounds astatine investing successful family-owned companies, and has been a prolific backer of companies successful the concern services sector.

Both Atalian Servest and OCS Group are family-owned, the second having been founded successful the aboriginal 20th period by Frederick William Goodcliffe arsenic The New Century Window and General Cleaning Company.

OCS has since grown into an planetary radical employing 68,000 radical and serving 20,000 customers successful the UK and Ireland, the Middle East and Asia.

Atalian Servest was formed from the £540m takeover successful 2018 of Bury St Edmunds-based Servest by its French counterpart.

The 2 companies undertake enactment crossed thousands of sites, including Manchester City's Etihad stadium arsenic good arsenic hospitals, courts and airports crossed the UK.

Last year, OCS won a declaration to proviso information unit to the 2022 Commonwealth Games successful Birmingham.

Listed enactment services companies connected the London marketplace see the likes of Mitie Group, which has besides grown done important acquisitions - astir notably the acquisition of Interserve's ample UK facilities absorption arm.

Further details of the prospective transactions involving CD&R, including the apt size of its involvement successful the combined group, were unclear.

The backstage equity radical has go 1 of the astir salient investors successful British companies successful caller years, and is present successful the process of exploring a merchantability of Motor Fuel Group, the UK's biggest autarkic petrol retailer.

It won a bidding warfare for Morrisons against Fortress Investment Group, and has antecedently owned well-known British businesses specified arsenic B&M, the discount retailer.

A CD&R spokesperson declined to comment, portion neither Atalian Servest nor OCS could beryllium reached for comment.

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