Danish group ISS will sell its German damage control unit Vatro to Swedish private equity investment firm Polygon, Reuters reported Thursday. Terms were not given. ISS is owned by Swedish buyout shop EQT and Goldman Sachs Capital Partners. Vatro’s services include flood and fire control mainly for corporate clients, Reuters wrote.
(Reuters) – Danish facilities management group ISS [ISSHOI.UL] has agreed to sell its German damage control unit Vatro to Swedish private equity investment firm Polygon AB for an undisclosed sum, ISS said on Thursday.
Vatro, headquartered in Olpe, Duesseldorf, has about 800 employees and generated revenue of about 1.09 billion Danish crowns ($214.2 million) in 2010, ISS said in a statement.
Closing of the deal, subject to regulatory approval, is expected in the early part of the third quarter, ISS said.
ISS, owned by Swedish private equity firm EQT [EQTPRK.UL] and Goldman Sachs Capital Partners, acquired the business in 2001, but said it was not a core unit.
“Damage control is a service with very limited operational and customer overlap, with the core strategic services provided by ISS Germany,” ISS central Europe regional chief Jacob Gotzsche said in the statement.
At the end of 2010, ISS Germany had 11,335 employees and revenue of 2.58 billion crowns, ISS said.
Vatro’s services include flood and fire control mainly for corporate clients, an ISS spokesman said.
“There is a pretty good margin in this business because when you need them, you really need them,” ISS spokesman Kenth Kaerhog said.
ISS was advised by Hawkpoint Partners Limited and Noerr LLP, the Danish group said.
Polygon is part of the Triton private equity investment group.
($1=5.089 Danish crowns)
(Reporting by John Acher; editing by David Hulmes)