Security firm G4S Plc has backed out on its planned 5.2 billion pounds acquisition of Denmark’s ISS. The reasons behind the collapse of the deal is failure to secure shareholder support for the deal. Based on this the board could no longer allow it to go ahead.
This morning G4S said its shareholders had raised too many concerns over the size of the deal.
A statement read by G4S chairman Alf Duch-Pedersen said “Shareholders have raised concerns particularly over its scale and perceived complexity against the backdrop of current macro-economic uncertainty,”
The company also said its planned rights issue to fund the acquisition had been scrapped.