Clearwater Corporate Finance has advised leading security business, Stag Security Services (“Stag Security”), on its multi-million sale to Servest-UK.
Stag was established in 2002 and is dedicated to providing a range of manned and electronic security systems for major construction, infrastructure and utilities sector contractors and blue-chip corporate clients throughout the UK. Clients include Balfour Beatty and Carillion, and Stag Security is the majority security provider to London’s Crossrail project. The business, which employs over 600 staff nationally, recorded a turnover of £15 million in 2011.
Servest is a leading multi service provider in the UK facilities sector offering catering, cleaning, consumables, landscaping, maintenance, pest control, specialist services, security, washroom services and waste management to businesses in the retail, leisure, public, commercial, transport and logistics sectors. Key clients include Tesco, Next, Primark, Leicestershire County Council, the Natural History Museum, the Science Museum and the University of Cambridge.
Based in Bury St Edmunds, but with clients nationwide, the business employs more than 9,000 people and has a turnover of £100 million. It is 73 per cent owned by Servest South Africa and remainder owned by the UK management team.
Paul Jones commented on the deal saying: “The way support services are being procured is changing as businesses are now looking for multi-service providers in order to improve efficiency and benefit from economies of scale.
“Servest were seeking a security specialist to be able to self deliver integrated services to its clients. Stag Security is a high quality service provider that required a suitable partner to assist in the next phase of growth. The acquisition will enable the company to invest further into broadening its services and client base across the UK.”
Graham Watson, chief executive at Stag Security, said: “We were impressed from the start with the level of Clearwater’s sector knowledge and the speed and depth in which they took the time to understand our businesses and the issues facing us. Their understanding of the market is second to none and the team were able to source a number of buyers in a difficult market and provide us with the highest quality advice throughout the process.”