G4S Nearing $5.2 Billion Takeover by Allied Universal Security

(Bloomberg) -- British security firm G4S Plc is headed for a 3.8 billion-pound ($5.2 billion) takeover by Allied Universal Security Services LLC after the closely held U.S. company prevailed over a rival suitor.

Allied declared its 245 pence tender offer final and lowered the minimum threshold for shareholders getting on board to 75% from 90%, according to a statement Tuesday. G4S said separately that its board unanimously recommends that shareholders accept Allied’s offer.

Allied emerged as the winner in a long-running competition for G4S on Monday. Although U.K. regulators had set the stage for a final battle with Garda World Security Corp., in the end Allied’s Canadian rival declined to improve its 235-pence proposal and the auction was ended.

Allied’s shareholders include Canadian pension fund Caisse de Depot et Placement du Quebec and Warburg Pincus. It had been seeking to woo G4S’s board and only wanted to proceed with a firm offer if it could win their recommendation.

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