Two of the United States’ largest contract security companies, AlliedBarton Security Services and Universal Services of America, have announced that they have agreed to merge. According to a statement, the combined company will operate under the AlliedUniversal brand following the close of the transaction, which is expected to occur in the third quarter of 2016, subject to customary regulatory approvals. The company boasts a roster of approximately 140,000 security officers and is expected to have total annual revenues of approximately $4.5 billion.
The two companies have a shared value proposition and aligned values. Founded in 1957, AlliedBarton Security Services is a provider of responsive and customizable security services to a diversified group of clients from more than 120 regional and district offices located throughout the U.S. in a number of markets. Founded in 1965, Universal Services of America is the largest American-owned security company, providing a mix of traditional manned security solutions and advanced digital security technologies to ensure the safety of clients throughout North America. The company also offers clients janitorial solutions, as well as safety and emergency preparation services.
Steve Jones, Chief Executive Officer of Universal Services of America, will serve as the CEO of the combined company, and Bill Whitmore, CEO of AlliedBarton, will serve as its Chairman of the Board. Warburg Pincus and Wendel will be lead investors in the combined entity with equal voting rights and Board representation; Partners Group and members of management will also have ownership interests in the combined company.
“AlliedBarton Security Services and Universal Services of America share a deep focus on the customer experience,” said Jones. “Bill Whitmore and the AlliedBarton team have established a sterling reputation in the industry for reliability and support. This combination brings together two excellent teams, and we are very excited to partner in a seamless integration that we expect to complete by the end of the year.”
“Through this combination with Universal Services of America, we expect to deliver tremendous value to our clients through access to Universal’s portfolio of technology-based security solutions,” said Whitmore.