Cleary Gottlieb is representing Allied Universal and Warburg Pincus in a sale of an equity stake in Allied Universal to Caisse de dépôt et placement du Québec (CDPQ).
The transaction, which was announced on February 20, 2019, values the company in excess of $7 billion.
The transaction includes a secondary sale by existing shareholders, including Warburg Pincus and Wendel, as well as approximately $400 million of primary capital from CDPQ, which will be used by the company to pursue its growth strategy and execute on its pipeline of M&A opportunities. Following the transaction, the company will continue to be majority owned by its existing shareholders, including Warburg Pincus, Wendel, and the company’s management team, and CDPQ will become the largest single shareholder.
The transaction is expected to close in the third quarter of 2019 subject to customary closing conditions, including regulatory approval.
Allied Universal is a Santa Ana, California, and Conshohocken, Pennsylvania-based provider of security solutions and facility services. With annual revenues of approximately $7 billion and more than 210,000 employees at more than 38,000 client sites, it is the largest and fastest-growing security solutions provider in North America.
CDPQ is a Canadian long-term institutional investor that manages funds primarily for public and parapublic pension and insurance plans.
For more information, please see the press release here.