STOCKHOLM, Sweden — In an effort to broaden its product line-up, Swedish guard services company Securitas will launch a bid worth 5.8 billion Swedish krona (SEK) or $907 million for Niscayah, a systems integrator.
Securitas estimates that the acquisition will create cost synergies of SEK200 million annually. The company also expects restructuring costs to total SEK250 million in 2011 and 2012, reports The Wall Street Journal.
Securitas will offer its shareholders one new Securitas share for every 4.19 shares in Niscayah.
Previously part of Securitas, Niscayah, which provides IT-based security solutions, was spun off from the company in 2006. Niscayah’s board of directors has appointed an independent committee to review the offer, according to a press statement.
Source: The Wall Street Journal