The proposed merger of Interserve's Support Services division with Mitie will create the UK's largest facilities management business, with over 77,500 employees and a portfolio evenly balanced between the public and private sectors. The combined consideration of the deal is worth £271m.
Both businesses actively provide outsourced services to the NHS, including cleaning and security.
The deal is subject to certain conditions, including approval from Mitie's shareholders. Should these conditions be satisfied within the expected timeframe, the merger of Interserve Support Services is expected to be complete by the end of this year.
Following the transaction Interserve Group will continue to focus on its three remaining divisions: Interserve Construction, Equipment Services (RMD Kwikform) and Citizen Services.
Phil Bentley, Group Chief Executive of Mitie said: "The transaction will better balance our public and private sector divisions; driving greater returns from the investments we have made in technology and customer service over the past three years. Together, we will create a true UK Facilities Management champion and partner to UK business, with over 77,500 exceptional employees."
