Buyout shop Charterhouse eyes £1bn offer for G4S cash business

Michael Bow
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THE OWNER of high street retailer Card Factory is considering a bid to buy a chunk of UK outsourcing firm G4S.

Charterhouse, which also owns parts of breakdown group AA and insurer Saga, is thought to be in the early stages of putting together a deal to buy G4S’ cash solutions business for $1.6bn (£1bn).

Although in its early stages, the buyout firm is understood to have held talks to secure a debt package to help finance any deal.

The proposal, which is thought to have been discussed internally by G4S management, would be welcomed by G4S’ activist investors.

The company, which is currently mired in a government investigation into outsourced contracts, has come under renewed pressure from outfits like Cevian Capital to divest its cash solutions unit to streamline the company.

The cash solutions business, which recorded revenues of £1.3bn last year, transfers money around to cash points in high security vans.

G4S said it did not comment on speculation. Charterhouse could not be reached for comment.