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G4S plc (GFS.L)

LSE - LSE Delayed price. Currency in GBp
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249.00+1.50 (+0.61%)
At close: 4:35PM GMT
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Previous close247.50
Open249.60
Bid249.10 x 0
Ask249.20 x 0
Day's range247.70 - 250.00
52-week range69.92 - 250.00
Volume5,746,534
Avg. volume12,157,416
Market cap3.863B
Beta (5Y monthly)1.16
PE ratio (TTM)226.36
EPS (TTM)1.10
Earnings date23 Jul 2020
Forward dividend & yieldN/A (N/A)
Ex-dividend date30 Apr 2020
1y target est241.00
  • Vaccine Supply Chains Bend But Don't Break
    Bloomberg

    Vaccine Supply Chains Bend But Don't Break

    (Bloomberg Opinion) -- It’s been one terrible year, but it’s worth taking a moment to appreciate how corporate America has risen to the challenges of the moment — especially when it comes to manufacturing and transporting essentials like vaccines. Supply chains have been tested in ways they never have been before and, yes, there have been pileups, shortages and other snafus. By and large, though, companies have figured it out and kept moving, at times under impossible circumstances. Shares of Pfizer Inc. fell on Thursday after the Wall Street Journal reported the company would deliver only 50 million doses of its vaccine this year, half as many as initially targeted, because of supply-chain logjams. It took longer than expected to source the necessary raw materials in large quantities, Pfizer said, while also noting that its clinical trial of the vaccine concluded later than first planned. The company has been indicating for weeks that the initial rollout would be scaled back, based on November news releases, but given current anxiety levels and the consequences of each passing day of the pandemic, this headline understandably put people on edge. I actually found it encouraging in a way. Obviously, we would all like to see a vaccine distributed in as many doses as possible, as quickly as possible. But considering pharmaceutical companies typically wait to set up supply chains and factory lines until after a vaccine is approved, the fact that Pfizer was able to cobble together the infrastructure to deliver any vaccines at all this year is an incredible feat. Not to mention, neither Pfizer nor any other drugmaker has ever developed a vaccine on this scale using messenger RNA technology that instructs the body’s cells to create virus proteins. On Friday, BioNTech SE, Pfizer’s partner on the vaccine, said the companies had already made most of the 50 million doses, a testament to the manufacturing prowess of its supply chain. The companies expect to make up this year’s shortfall — relative to initial targets — as production of the vaccine ramps up, and are on track to distribute at least 1.3 billion doses in 2021. The government is aiming for Pfizer to begin shipping the vaccine within 24 hours of receiving U.S. Food and Drug Administration approval, Vice President Mike Pence and Health Secretary Alex Azar said at a press conference this week. Pfizer will do so directly with FedEx Corp. as part of the Operation Warp Speed program to accelerate distribution of vaccines. FedEx rival United Parcel Service Inc., which historically has operated a bigger pharmaceutical shipping business, will also play a key role in the rollout. The news this week that UPS is limiting pickups at certain retailers to ease congestion should be viewed in that context.Logistics data-analytics company ShipMatrix estimates a surplus of 7 million packages per day this peak season relative to the actual capacity of the parcel-delivery industry. That’s before factoring in vaccine shipments, which will inevitably displace some e-commerce orders. UPS’s efforts to meter the flow of boxes into its network therefore isn't a flaw in the system; it’s a feature and a reflection of the company’s billions of dollars of investments in automation and software to help it more profitably handle the deluge of e-commerce shipments. Even with all of the demands on their networks right now from the pandemic-fueled surge in e-commerce orders, UPS and FedEx are handling this peak season amazingly well so far. For the third week of November, FedEx delivered 96.6% of its packages on time, while UPS delivered 96.9%, according to Satish Jindel, president and founder of ShipMatrix. That should instill some confidence in their ability to get vaccines from point A to point B. UPS and FedEx are only one part of the logistics equation, though. Much of the final legwork will fall to pharmacies, whose trained medical professionals will be responsible for poking millions of arms with the vaccine, including the first wave of recipients at long-term care facilities. Thankfully, this is something they have experience with. So far this year, CVS Health Corp. has held flu-shot clinics at more than 8,000 long-term care facilities across the country, Chris Cox, a senior vice president at the company and its liaison to Warp Speed, said in an interview. There are unique features to the coronavirus vaccines under development, but CVS is drawing on this know-how.The company will ultimately administer shots at more than 30,000 elder-care facilities as part of a program coordinated by the U.S. government. CVS has selected about 1,000 of its existing pharmacies (which were chosen based on their geographical proximity to long-term care facilities) to serve as hubs for vaccine warehousing, Cox said. CVS’s past experience with administering vaccinations means it already has certain cold-storage infrastructure in place, a must for the leading coronavirus candidates. CVS will transport the shots from the hubs using specially-made cooling containers manufactured by AeroSafe Global.Once the vaccine is more widely available, CVS will link its vaccine inventory management system with its software that tracks patient appointments to ensure that each individual gets two doses of the same vaccine, he said. You wouldn’t want to get one dose of the Pfizer vaccine and a second of Moderna Inc.’s, for example. CVS will use the same messaging system it deploys for prescription pick-up reminders to prompt customers to come back for their second shot. These are the kinds of things the average person isn’t thinking about right now, but these little logistical details matter a great deal. This is not to say the back-end preparation for a vaccine rollout has been an easy process. Raw-material suppliers, logistics companies and pharmacies have had to come up with comprehensive plans despite a myriad of uncertainties, including but not limited to: knowing which, if any, of the vaccines under consideration might ultimately be approved; adjusting to shifting perspectives on who should receive inoculations first; managing through a patchwork of different plans, budgets and launch dates by the 50 individual states; and ensuring their own workers are protected during this process. There may yet be hiccups and snags, but I for one am comforted by the degree to which the private sector is on top of this process. These companies have a plan and in many ways are playing to their strengths and existing infrastructure.Stuck on the RunwayOne group that's eagerly cheering on the vaccine news is the aerospace sector. Ryanair Holdings Plc is so optimistic that mass inoculations will drive a travel rebound that it was willing to order 75 more of Boeing Co.’s embattled 737 Max jets. It’s the largest firm order for the Max since December of 2018, according to Bloomberg News. Earlier that year, the Max suffered the first of two fatal crashes that would eventually prompt a 20-month grounding. While Ryanair CEO Michael O’Leary has a reputation as a hard bargainer and likely got the Max at a significant discount given its woes, he chose to characterize the price reduction as “modest” and focused on the fuel-efficiency benefits. If nothing else, it was a major PR victory for Boeing, which has been dogged with questions about the future profitability of the Max program.However confident aerospace executives are about the post-vaccine future, they still have to deal with the worsening pandemic now. Boeing itself offered a stark reminder of that this week, with Chief Financial Officer Greg Smith telling a Credit Suisse Group AG conference on Friday that the company is planning to further trim output of its 787 Dreamliner and is considering an equity sale to help mitigate the heavy debt load it took on during the crisis. While Boeing would love the Ryanair order to be the first of many, even the strongest U.S. airlines are facing fresh turmoil. Delta Air Lines Inc. this week warned it could burn more cash than previously expected this quarter (as much as $14 million per day) and said demand had taken a hit amid the rising coronavirus case count across the U.S. Southwest Airlines Co. sharply expanded the number of employees that may be affected by its first-ever forced furlough. In total, more than 7,000 jobs are at risk if the carrier and labor unions can’t agree on a plan to cut $500 million of costs. On the bright side, a bipartisan stimulus bill that includes fresh aid for the airline sector appears to be gaining traction. Deals, Activists and Corporate GovernanceFedEx Corp. agreed to buy ShopRunner, a member-based e-commerce service that provides free shipping and returns for more than 100 brands including Neiman Marcus and American Eagle. The deal will help further embed FedEx into the e-commerce process and is a particularly notable tie-up in the wake of the company’s falling-out with Amazon.com Inc. FedEx has tried to position itself as an anti-Amazon ally for other e-commerce retailers, including Walmart Inc. Terms weren’t released, but FedEx says the purchase should close by the end of the year, pending regulatory approval. Elsewhere in e-commerce deals, private equity firms continue to gobble up warehouse real estate. Blackstone Group Inc., a big player in this corner of the market, acquired 13 properties located mainly in California, northern New Jersey and Pennsylvania’s Lehigh Valley from Iron Mountain Inc. The price tag was $358 million. KKR & Co., meanwhile, is reportedly nearing an $800 million purchase of a portfolio of warehouses in markets including Atlanta, Chicago, Dallas and Baltimore. General Motors Co. announced this week that it was downgrading its lofty partnership agreement with electrical-vehicle startup Nikola Corp. to what is essentially a glorified supplier contract. GM will supply the Hydrotec fuel-cell system to Nikola’s commercial semi-trucks at “cost plus” — meaning the startup will reimburse it for costs incurred as well as a specified profit. Gone is the production agreement for Nikola’s Badger pickup truck, a program that now appears to be defunct. Also gone is GM’s willingness to be compensated for its services in Nikola stock. After a rough few months for Nikola that included accusations of deception by a short-seller (denied by the company) and the departure of founder Trevor Milton as executive chairman, GM would prefer cold hard cash. The obvious question is, if GM doesn’t want Nikola stock, why would anyone else? The shares fell more than 30% this week. My colleague Tim O’Brien calls for more explanation from GM on how the company could so misjudge Nikola’s prospects. Personally, I continue to believe that GM didn’t misjudge Nikola, but rather the stock market. Investors are much less willing to award companies that lack revenue or proven technology with premium valuations than they were just a few short months ago. And hey, GM still got out while the getting was good. Elsewhere in bad news for electrical-vehicle startups, shares of Workhorse Group Inc. also plummeted this week after reports that the U.S. Postal Service further delayed a key contract for new mail trucks. XPO Logistics Inc. is moving ahead with a breakup. The $11 billion company will spin off its contract logistics businesses, leaving behind a provider of services for shippers who don't need a full truck to carry their freight. This completes the strategic review process XPO announced in January; an attempted sale of its European supply-chain business reportedly stalled after Blackstone dropped out of the bidding over valuation disagreements. XPO says the split will help each business hone its customer and technology focus, attract better talent and operate with lower debt profiles. If there was a generic “breakup logic” you could buy right off the shelf, that would be it. The split marks a turning point for a company that was built via consolidation of a fragmented industry. That being said, the market is happy: XPO shares climbed on the news to a fresh record. “It is hard to argue that thesis creep has not occurred, but one thing has not changed and that is the company’s commitment to maximize shareholder value,” Cowen analyst Jason Seidl wrote in a note. He also questions whether this breakup might offer an eventual exit strategy for XPO CEO Brad Jacobs, a serial entrepreneur. Elsewhere in logistics, Transfix, a startup that operates a freight marketplace, is reportedly in talks to go public through a merger with a blank-check firm, Tuscan Holdings Corp. II. Eaton Corp. has lured away W.W. Grainger Inc. CFO Thomas Okray, who will join the electrical equipment company in the same role starting in April. Current Eaton CFO Rick Fearon will leave big shoes to fill upon his retirement, and this job will bring unique challenges to Okray, RBC analyst Deane Dray wrote in a report. He points out that Eaton’s Irish domicile gives it a different tax profile than what Okray is used to at Grainger, while the company’s more global business and appetite for M&A will also be a change. That being said, Dray thinks Okray is up for the job. Grab Bag. It appears dealmakers and regulators were busy over the holiday weekend. GardaWorld increased its hostile offer for British security provider G4S Plc to 235 pence-a-share ($4.9 billion) and lowered the investor acceptance threshold to 50% plus one share. Garda says this is its final offer, unless G4S gets a bid from someone else, which feels like a possibility as G4S said Thursday that it continues to hold talks with Allied Universal. My colleague Chris Hughes writes that Garda squandered an opportunity by not raising its bid more significantly earlier. CSX Corp. inked an agreement to buy New England carrier Pan Am Railways. Bloomberg Intelligence analyst Lee Klaskow says CSX should be able to lower Pan Am’s operating ratio to around 60% from an estimated 80% to 85% currently (a lower number here is good). And lastly, Alstom SA said it had finally received all regulatory approvals to acquire Bombardier Inc.’s rail business. This is somewhat ironic because Bombardier also this week named Bart Demosky its new CFO and Demosky has had a long career in … the rail industry. Bonus Reading Rusty Pilots Making Flying Errors Is Next Aviation Headache Exxon Is Now the Thing It Wasn't Supposed to Be: Liam DenningCovid-19 Vaccines Start a Frenzy for Dry Ice; 'It's Like a Herd of Mustangs' Hydrogen Is a Trillion Dollar Bet on the Future: David Fickling Women Take the Lead in Covid Vaccine Development: Tyler Cowen As Stimulus Debate Rages, Senators Agree on Tax Cuts for BeerThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Brooke Sutherland is a Bloomberg Opinion columnist covering deals and industrial companies. She previously wrote an M&A column for Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Globe Newswire

    G4S plc: Notification of Major Shareholding

    4 December 2020 G4S PLC NOTIFICATION OF MAJOR SHAREHOLDING The company was notified on 3 December 2020 by Sachem Head Capital Management LP, that, following a change in voting rights relating to other financial instruments falling within DTR 5.3.1R (1) they hold below 5% of the company's total voting rights.   Celine BarrocheCompany Secretary                           For further enquiries, please contact: Helen Parris Director of InvestorRelations+44 (0) 207 9633189Media enquiries  Sophie McMillanHead of media+44 (0) 759 5523483Press office +44 (0) 207 9633333 Notes to Editors:G4S is the world’s leading global, integrated security company, specialising in the provision of security services and solutions to customers. Our mission is to create material, sustainable value for our customers and shareholders by being the supply partner of choice in all our markets.  G4S is quoted on the London Stock Exchange and has a secondary stock exchange listing in Copenhagen. After taking account of the businesses being sold in the year, G4S is active in around 85 countries and has around 533,000 employees. For more information on G4S, visit www.g4s.com.

  • Globe Newswire

    GardaWorld Offer: Update on Offer-related Arrangements

    NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION FOR IMMEDIATE RELEASE 3 December 2020 G4S plc (the “Company” or “G4S”) GardaWorld Offer: Update on Offer-related Arrangements G4S continues to be in discussions with Allied Universal Services LLC (“Allied Universal”) in relation to a potential offer to acquire G4S. Any firm offer from Allied Universal would be required to be announced by 9 December 2020. There can be no certainty at this stage that such an offer will be made by Allied Universal nor as to the terms on which any such offer might be made. Under the UK City Code on Takeovers and Mergers (the “Code”) any information given by the Company to a potential offeror must,on request, be provided to another offeror or potential offeror.   Garda World Security Corporation (“GardaWorld”) has made such a request and has today entered into a further confidentiality agreement in order to receive certain information on an external counsel only basis. A copy of the agreement will be available shortly on G4S’s website at https://www.g4s.com/investors/offer-and-possible-offer. For further enquiries, please contact: G4S plc Helen Parris                           Director of Investor Relations              +44 (0) 207 9633189 Media enquiries Sophie McMillan                     Head of Media                                   +44 (0) 759 5523483 Press office                                                                                    +44 (0) 207 9633333 G4S Joint Lead Financial Advisers and Corporate Brokers Citigroup Global Markers Limited J.P. Morgan Cazenove G4S Financial Advisers Lazard & Co., Limited Goldman Sachs International G4S Legal Advisers Linklaters LLP Media Advisers Brunswick Notes to Editors G4S is the leading global security company, specialising in the provision of security services and solutions to customers. Our mission is to create material, sustainable value for our customers and shareholders by being the supply partner of choice in all our markets. G4S is quoted on the London Stock Exchange and has a secondary stock exchange listing in Copenhagen. After taking account of the businesses being sold in the year, G4S is active in more than 80 countries and has around 533,000 employees. For more information on G4S, visit www.g4s.com. Important Notices Citigroup Global Markets Limited ("Citi"), which is authorised by the Prudential Regulation Authority (”PRA”) and regulated in the UK by the Financial Conduct Authority (”FCA”) and the PRA, is acting exclusively for G4S and no one else in connection with the matters set out in this announcement and will not regard any other person as its client in relation to the matters in this announcement and will not be responsible to anyone other than G4S for providing the protections afforded to clients of Citi nor for providing advice in relation to any matter referred to herein. J.P. Morgan Securities plc (which conducts its UK investment banking business as J.P. Morgan Cazenove) ("J.P. Morgan Cazenove") which is authorised in the United Kingdom by the PRA and regulated in the United Kingdom by the PRA and the FCA, is acting as financial adviser exclusively for G4S plc and no one else in connection with the matters set out in this announcement and will not regard any other person as its client in relation to the matters set out in this announcement and will not be responsible to anyone other than G4S plc for providing the protections afforded to clients of J.P. Morgan Cazenove or its affiliates, nor for providing advice in relation to any matter referred to herein. Lazard & Co., Limited, which is authorised and regulated in the United Kingdom by the Financial Conduct Authority, is acting exclusively as financial adviser to G4S and no one else in connection with the matters set out in this announcement and will not be responsible to anyone other than G4S for providing the protections afforded to clients of Lazard & Co., Limited nor for providing advice in relation to the matters set out in this announcement. Neither Lazard & Co., Limited nor any of its affiliates owes or accepts any duty, liability or responsibility whatsoever (whether direct or indirect, whether in contract, in tort, under statute or otherwise) to any person who is not a client of Lazard & Co., Limited in connection with this announcement, any statement contained herein or otherwise. Goldman Sachs International (“Goldman Sachs”), which is authorised in the United Kingdom by the PRA and regulated in the United Kingdom by the PRA and the FCA, is acting exclusively for G4S and no one else in connection with the matters set out in this announcement. Goldman Sachs will not be responsible to anyone other than G4S for providing the protections afforded to clients of Goldman Sachs nor for providing advice in relation to any matter referred to herein. Disclosure Requirements Under Rule 8.3(a) of the Code, any person who is interested in 1% or more of any class of relevant securities of an offeree company or of any securities exchange offeror (being any offeror other than an offeror in respect of which it has been announced that its offer is, or is likely to be, solely in cash) must make an Opening Position Disclosure following the commencement of the offer period and, if later, following the announcement in which any securities exchange offeror is first identified. An Opening Position Disclosure must contain details of the person's interests and short positions in, and rights to subscribe for, any relevant securities of each of (i) the offeree company and (ii) any securities exchange offeror(s). An Opening Position Disclosure by a person to whom Rule 8.3(a) applies must be made by no later than 3.30 pm (London time) on the 10th business day following the commencement of the offer period and, if appropriate, by no later than 3.30 pm (London time) on the 10th business day following the announcement in which any securities exchange offeror is first identified. Relevant persons who deal in the relevant securities of the offeree company or of a securities exchange offeror prior to the deadline for making an Opening Position Disclosure must instead make a Dealing Disclosure. Under Rule 8.3(b) of the Code, any person who is, or becomes, interested in 1% or more of any class of relevant securities of the offeree company or of any securities exchange offeror must make a Dealing Disclosure if the person deals in any relevant securities of the offeree company or of any securities exchange offeror. A Dealing Disclosure must contain details of the dealing concerned and of the person's interests and short positions in, and rights to subscribe for, any relevant securities of each of (i) the offeree company and (ii) any securities exchange offeror(s), save to the extent that these details have previously been disclosed under Rule 8 of the Code. A Dealing Disclosure by a person to whom Rule 8.3(b) applies must be made by no later than 3.30 pm (London time) on the business day following the date of the relevant dealing. If two or more persons act together pursuant to an agreement or understanding, whether formal or informal, to acquire or control an interest in relevant securities of an offeree company or a securities exchange offeror, they will be deemed to be a single person for the purpose of Rule 8.3 of the Code. Opening Position Disclosures must also be made by the offeree company and by any offeror and Dealing Disclosures must also be made by the offeree company, by any offeror and by any persons acting in concert with any of them (see Rules 8.1, 8.2 and 8.4 of the Code). Details of the offeree and offeror companies in respect of whose relevant securities Opening Position Disclosures and Dealing Disclosures must be made can be found in the Disclosure Table on the Takeover Panel's website at www.thetakeoverpanel.org.uk, including details of the number of relevant securities in issue, when the offer period commenced and when any offeror was first identified. You should contact the Panel's Market Surveillance Unit on +44 (0)20 7638 0129 if you are in any doubt as to whether you are required to make an Opening Position Disclosure or a Dealing Disclosure. Rule 26.1 Disclosure In accordance with Rule 26.1 of the Code, a copy of this announcement will be available at www.G4S.com, by no later than 12 noon (London time) on the business day following this announcement. The content of the website referred to in this announcement is not incorporated into and does not form part of this announcement.