WENDEL : acquires AlliedBarton Security Services, a Leading Security Services Company in the U.S.

Wendel (MF.FP), a global investment firm, today announced that it has completed the acquisition of AlliedBarton Security Services, a leading security officer services companies in the United States, from funds managed by Blackstone, one of the world's leading alternative asset managers, for approximately $1.68 billion.  As part of the transaction, Wendel has made an equity investment of approximately $687 million, for a ca. 96% ownership in the company, alongside AlliedBarton's management team.
           
Founded in 1957 and based in Conshohocken, Pennsylvania, AlliedBarton is a leader in the U.S. security services market providing physical guarding and related services to a diversified group of more than 3,300 customers in a number of markets. These clients demonstrate the experience and credibility of AlliedBarton. The Company has more than 62,000 employees and 120 regional and district offices located throughout the United States.

The market for outsourced security officer services in the U.S. is estimated to be greater than $20 billion and is very fragmented. AlliedBarton intends to play an active role in the market consolidation. The industry, and in particular, AlliedBarton, has demonstrated strong growth over a long period of time and proven quite resilient during economic downturns.  Over the years, AlliedBarton transformed from a regional participant to an industry leader with a national presence.  The Company integrated 12 acquisitions since 1998 and developed a unique go-to-market approach driven by customized, vertical segment expertise. 

A small but growing part of the Company's business (7% of the revenue) provides security-related services for various departments and agencies of the U.S. government and U.S. government contractors.  Accordingly, the company has established a governance structure in compliance with U.S. national security interests that enhances AlliedBarton's efforts to increase its presence in this market.  In this regard, the Company expects to add three independent directors with national security clearance who are well known within the aerospace and defense community.

"AlliedBarton is a fantastic franchise with a tremendous reputation for integrity and reliability and a very impressive management team, led by Bill Whitmore.", said Frédéric Lemoine, Chairman of Wendel's Executive Board. "The company has an outstanding track record of profitable growth and cash generation. It is well positioned to continue to grow both organically and through acquisitions. This is Wendel's second investment in North America this year and represents a significant step in our efforts to diversify geographically, particularly when considering that AlliedBarton's business is predominantly in the U.S."
           
"We are very excited to join Wendel", added Bill Whitmore, Chairman and CEO of AlliedBarton.  "Their long-term investment philosophy and successful track record of building world-class companies will help AlliedBarton continue its extraordinary growth and achieve the next level of success. The senior leadership team and I look forward to working with Wendel and building a strong relationship based on our shared values and strategic vision. AlliedBarton will continue to deliver high quality security services tailored to the individual needs of our clients."

Financial calendar

12/3/2015

2015 Investor Day / Publication of NAV and trading update (pre-market release)

3/31/2016

2015 full-year results / Publication of NAV (pre-market release)

6/1/2016

Shareholders' Meeting / Publication of NAV and trading update (before Shareholders' Meeting)

9/8/2016

H1 2016 earnings / Publication of NAV (pre-market release)

12/1/2016

2016 Investor Day / Publication of NAV and trading update (pre-market release)

About AlliedBarton Security Services

For more than 50 years, AlliedBarton Security Services has provided superior security officer services to protect people, homes and businesses. AlliedBarton tailors security programs to meet clients' needs with committed professionals who enhance clients' brands. The most honored security services provider, AlliedBarton consistently delivers exceptional service which creates a differentiated experience for clients and the people they serve. More than 60,000 employees and 120 offices serve thousands of clients with levels of protection that anticipate needs and build enduring relationships. For more information, please visit http://www.alliedbarton.com

About Wendel

Wendel is one of Europe's leading listed investment firms. The Group invests internationally, in companies that are leaders in their field, such as Bureau Veritas, Saint-Gobain, Cromology, Stahl, IHS, Constantia Flexibles and AlliedBarton security Services. Wendel plays an active role as industry shareholder in these companies. It implements long-term development strategies, which involve boosting growth and margins of companies so as to enhance their leading market positions. Through Oranje-Nassau Développement, which brings together opportunities for investment in growth, diversification and innovation, Wendel is also a shareholder of exceet in Germany, Mecatherm and Parcours in France, Nippon Oil Pump in Japan, Saham Group in Africa and CSP Technologies in the United States. Wendel is listed on Eurolist by Euronext Paris.

Standard & Poor's ratings: Long-term: BBB-, stable outlook - Short-term: A-3 since July 7, 2014. Wendel is the Founding Sponsor of Centre Pompidou-Metz. In recognition of its long-term patronage of the arts, Wendel received the distinction of "Grand Mécène de la Culture" in 2012.

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Press contacts Wendel                                                                                                                                                                                                     

Christine Anglade-Pirzadeh: +33 (0)1 42 85 63 24                                                                                                                                                                                                                                                                         

c.angladepirzadeh@wendelgroup.com:
mailto:c.angladepirzadeh@wendelgroup.com                                                                                                                                                                                                                                                                                             

Caroline Decaux: +33 (0)1 42 85 91 27                                                                                                                                                                                                                                                                                           

c.decaux@wendelgroup.com:
mailto:c.decaux@wendelgroup.com                                                                                                                                                                                                                                                                                                           

U.S.
Raina Gajjar, FTI Consulting
+1 (212) 850-5724 raina.gajjar@fticonsulting.com

Analyst and investor contacts Wendel
Olivier Allot: +33 (0)1 42 85 63 73
o.allot@wendelgroup.com
Elisa Muntean: +33 (0)1 42 85 63 67
e.muntean@wendelgroup.com