ISS steps up its US operations through the acquisition of BGM Industries, a leading Mid-West facility services provider with annual revenue of about DKK 500m.
Copenhagen, 6 March 2008 – ISS, the Facility Services group, announced earlier today that it had agreed to acquire US company BGM Industries.
BGM Industries provides cleaning, property services and security and generated 2007 revenue of about DKK 500m.
“The acquisition of BGM Industries is consistent with our strategic goal of expanding our presence in the United States. The deal will expand our geographical coverage in the Mid-West, strengthen our existing service offering and our market position for security as well as adding new capabilities for cleaning services in airports,” said ISS Group CEO Jørgen Lindegaard.
Lindegaard also expects that through the expanded US platform, ISS will gain access to larger, national and international contracts that require ISS to have a nation-wide US presence.
BGM Industries has more than 30 years of experience in property services and security, but has strongly expanded its service offering, and today, cleaning services is the company’s largest business area. Customers include the Denver and Salt Lake City airports. BGM has generated substantial organic growth during the last four years.
ISS established a presence in the US market when it acquired Sanitors Inc. in June of last year as part of its strategy to be a global leader in Facility Services. Following the acquisition of BGM, ISS will have US-driven revenue of DKK 2.5bn and about 14,000 employees.
The transaction to buy BGM Industries is expected to close at the end of March 2008.
For further information, please contact:
Jørgen Lindegaard
Group CEO
ISS A/S
Tel: +45 38 17 00 00
Stig Pastwa
COO, France, Italy, Latin America, Portugal, Spain and USA
ISS A/S
Mobile: +45 23 34 35 54
About the ISS Group
The ISS Group is one of the world's leading Facility Services Groups, providing integrated service solutions based on the core business areas of Cleaning, Catering, Office Support, Property Services and Security. The ISS Group had annual revenues of almost DKK 64 billion in 2007 and employs more than 440,000 people in 50 countries across Europe, Asia, North America, South America and Australia.
About BGM Industries
BGM Industries has its headquarters in Kansas City, MO, and is the leading provider of cleaning services in the US Mid-West. In addition to cleaning services, BGM also provides property services such as building maintenance and landscaping as well as security. The company has more than 1,000 customer accounts, the largest of which are office properties and airports. BGM Industries generated 2007 revenue of about DKK 500m and has some 3600 employees.