British private security firm G4S on Tuesday, November 3, rejected a takeover proposal from US rival Allied Universal Security Services, stating that the highly conditional offer of 210 pence (US$2.76) per share significantly undervalues the company.
The announcement from G4S, which is also currently in a hostile takeover battle with Canada’s GardaWorld, was first reported by Bloomberg News on Monday.
The move marks the second suitor to be turned away by the British firm, which is publicly fighting a hostile bid from Canada’s GardaWorld. G4S Chief Executive Officer Ashley Almanza said in an interview last week that the company hasn’t seen any mergers that make sense and will push ahead with a turnaround plan.
G4S recommended last week that shareholders reject Garda’s bid, which is backed by private equity firm BC Partners, calling the offer of 190 pence (US$2.49) per share “wholly inadequate.”
“We have not seen a potential combination yet that may have been in the best interest of shareholders,” Almanza said in the interview, without naming any other suitors. “The board believes in our strategy.”
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