Company News

G4S rebuffs hostile bidder GardaWorld, insists pension scheme well funded

Oct 7 (Reuters) - British private security company G4S on Wednesday once again rejected smaller Canadian rival GardaWorld’s offer and dismissed claims made by the hostile bidders in a pitch to shareholders as misleading.

GardaWorld, which launched a hostile bid for one of the world’s largest private security companies G4S last month, said on Tuesday that it, along with its private equity owner BC Partners, had a plan to “address G4S’ pension issues”.

That prompted G4S to say its UK pension schemes, attached to its retained UK cash operations, were “well funded” and “well managed” and that it already has an agreed funding plan with its trustees.

“The Board, once again, unanimously rejected this offer as it continues to significantly undervalue the company,” G4S said, referring to the 190 pence per share offer valuing the London-listed firm at 2.97 billion pounds ($3.83 billion). ($1 = 0.7754 pounds) (Reporting by Yadarisa Shabong in Bengaluru; Editing by Krishna Chandra Eluri)