MEMPHIS, Tenn. — Memphis-based Terminix announced Tuesday that the company is being bought by a United Kingdom-based global pest control business in a $6.7 billion deal.
Rentokil Initial said it is “an industry-leading provider of pest management and solutions for commercial and residential customers.”
The combined company will have about 56,000 employees serving 4.9 million customers in 790 locations globally, according to a release from Rentokil Initial.
Rentokil Initial said Terminix shareholders can elect to receive all cash or all stock as part of the agreement. The combined company will be traded on both the London and New York Stock Exchanges.
“On behalf of the Board of Terminix, I enthusiastically support this complementary combination of two phenomenal pest management companies. Our Board of Directors is confident that Rentokil Initial is the perfect partner for Terminix and that this Transaction will maximize value for Terminix’s customers, teammates and stockholders,” said Naren Gursahaney, Chairman of Terminix, in the release.
Brett Ponton, CEO of Terminix, said, “This is an exciting next step that significantly advances Terminix’s journey toward becoming a global leader in pest management. As part of a larger and stronger organisation, we will offer superior service and an even more comprehensive range of solutions for our customers, while accelerating our investments in growth and technology. I look forward to the opportunity this combination provides for our colleagues and customers.”
The release also said the combined company “will maintain its presence in Memphis, TN, Reading, PA and Charlotte, NC and will continue to support their local communities there, and maintain branches 8 throughout the US.”