Swedish-based guard services firm Securitas announced Monday that it has made a public offer to buy systems integrator Niscayah. According to published reports, the deal is worth 5.8 billion Swedish krona (SEK) or $ 907 million.
In a statement, Securitas said that acquiring Niscayah would allow the company the ability to offer its customers comprehensive security solutions. The company estimates that the acquisition will create cost synergies of SEK200 million annually. In addition, Securitas estimates restructuring costs to total SEK250 million in 2011 and 2012.
"Niscayah complements Securitas through its strategic expertise on how security technologies can be integrated into a comprehensive solution for the highest possible quality, cost efficiency and customer value," Securitas President and CEO Alf Goransson said in the statement. "The acquisition of Niscayah allows Securitas to, with its own resources, master specialised security services, security technology and qualified security advice, which significantly strengthens Securitas competitiveness."
Niscayah, which was previously owned by Securitas until it was spun off in 2006, said in a statement that its board of directors has appointed an independent committee to evaluate the offer and other potential offers.
"The independent committee of the Niscayah Board of Directors will announce its opinion with respect to the offer, and the reasons for this opinion, as well as a fairness opinion from an independent expert, no later than two weeks prior to the expiry of the offer's acceptance period," the company said in a statement.
The offer is slated to expire on July 18.