G4S sells Israeli arm as part of wider rationalisation push
Security giant G4S has flogged its Israeli business to a local private equity firm in a cash deal worth £88m.
It did not, however, mean the London-listed firm was walking away completely from Israel. G4S will continue to have a footprint in the country through its police training facility called Policity.
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The sale is part a wider push by the group to concentrate operations, sale non-core businesses and step away from retendering for unprofitable contracts.
In March, the company announced plans to raise more than £250m through selling a number of assets, including its Israeli arm. Also for the chop were UK utility services, US youth justice services and UK children's services contracts.
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Ashley Almanza, G4S' chief exec reaffirmed this message following today's news:
The sale of our business in Israel is part of our active portfolio management programme announced in 2013 to improve our strategic focus and capital discipline.
The sale to FIMI, a private equity house running $2bn (£1.6bn) of funds would help Israeli operations to "grow and prosper" according to Almanza. He added the transaction would provide "a positive future for our 6,000 colleagues in Israel and long term, high quality service and support to customers operating in the Israeli market".