Rentokil acquires US extermination group Terminix in a $6.7bn deal to form the biggest pest control provider in the world, according to a press release by Rentokil Initial Plc on Tuesday.
- The UK group has purchased over 220 companies starting 2016, but the latest arrangement valuing Terminix’s equity at $6.7bn is its largest over the last years.
- Andy Ransom, Rentokil’s chief executive, stated the company would continue to seek acquisitions in North America, Asia and the Middle East, and the hygiene industry.
- The Rentokil arrangement values Terminix’s equity at a premium of 47% to its closing share price on Monday.
- Brett Ponton, chief executive of Terminix, stated that the deal is an exciting step to advance Terminix’s journey in becoming a global leader in pest management.
The massive $22bn pest control industry has continued to expand during the pandemic, with growing middle classes, increased fears over viruses and diseases. RTO down -8.30%, TMX up +24.59%