Electra Partners Europe, the European mid-market private equity firm, and UK-based private equity house Englefield Capital have teamed up to acquire Global Solutions Limited (GSL).
The two firms have jointly acquired the UK-based facilities management arm of Group 4 Falck, the Danish-headquartered global security services provider, for DKr2.3 billion (£207.5 million;€310.8 million; $375.9 million).
The houses have provided the entire initial funding for the transaction, with both parties confirming that they would look to leverage debt into the business within a reasonably short period of time.
GSL provides outsourced support services to public authorities and is also involved in the private financing initiative (PFI) and public private partnership (PPP) outsourcing markets. The business, which employs approximately 8,000 people, turned over circa £300 million in 2003.
Dominic Shorthouse, managing partner of Englefield Capital, said in an interview that they had been looking at the GSL business “since the summer of last year.”
In a statement, Shorthouse and Nigel McConnell, managing director of Electra Partners said: “We believe that the acquisition is a very positive milestone in GSL’s development for its customers, management and employees.”
Electra Partners is currently investing from its €1 billion Electra European Fund, which is understood to be approximately 70 percent invested at this stage. Earlier this week it completed the €150 million refinancing of BWG, the UK and Ireland-based food and drink wholesaler.
Englefield is investing from its debut €700 million The Englefield Fund, which closed in 2003 and is backed by Bregal, the group investing in private equity on behalf of the Brenninkmeijer family.