GENERAL: SPT: Spotless completes acquisition of CE Property Services

18 Mar 2010 12:27 pm

SPT 18/03/2010 GENERAL

REL: 1227 HRS Spotless Group Limited

GENERAL: SPT: Spotless completes acquisition of CE Property Services

Spotless completes acquisition of CE Property Services Group "Cleanevent"

Spotless Group Limited (ASX/NZX:SPT) has completed the acquisition of the privately owned international cleaning and outsourced services company, CE Property Services Group 'Cleanevent' (widely known for the Cleanevent and CleanDomain brands). The Group has revenue of over AUD$140 million, with approximately 60 per cent of revenue generated in Australia. The acquisition was comfortably funded from existing debt facilities.

The acquisition provides Spotless' Facility Services operations with an established presence in new geographies including the United Kingdom, Europe, the United States and the Middle East. Additionally, Cleanevent's established Australian presence will provide Spotless with increased scale and efficiencies in the Australian market.

According to Spotless' Group Managing Director and CEO, Josef Farnik, the acquisition demonstrates the commitment to growth in core service lines and to the growth of the company's Facility Services offering internationally.

"Cleanevent delivers Spotless an international footprint with a blue chip portfolio of iconic venues and events. We now have the flexibility to introduce Cleanevent clients to our broader service offering and deliver those clients greater value and efficiencies through integrated contracts with related outsourced services.

"The acquisition adds to the depth and breadth of our existing cleaning services capability. We now have more than 13,000 cleaning staff globally and provide cleaning and related services to over 6,000 clients," Mr Farnik said.

. Cleanevent was founded in 1987 and is renowned for its suite of high profile contracts including, O2 arena (UK), Melbourne Cup Carnival (Aust), Wembley Stadium (UK), Chelsea, Tottenham and Arsenal Football Grounds (UK), Royal Ascot (UK), Roland Garros (France), Multiple Olympic and Commonwealth Games, Australian F1 Grand Prix, Etihad Stadium (Aust) and ANZ Stadium (Aust).

Mr Farnik confirmed that it will be business as usual in terms of the ongoing commitment to customer service, operational excellence and retention of operational employees.

"We value the reputation for service excellence and the calibre of customer relationships that Cleanevent has developed. When combined with Spotless' range of services, depth of experience in outsourced services and corporate strength, the combined team will create exciting growth opportunities for Spotless, our clients and our employees.

"Importantly the founder of Cleanevent, Mr Craig Lovett, has joined Spotless to lead the growth of our Tourism & Leisure business globally," said Mr Farnik.

The acquisition of Cleanevent is consistent with Spotless' strategic plans and delivers high quality clients and people, an international services platform with exciting opportunities and clear market leadership in Australasian cleaning and related services.

"We continue to pursue those acquisitive opportunities that align with our growth strategy and that meet our strict financial hurdles," said Mr Farnik.

Spotless is a leading multi-national services organisation and now employs more than 37,000 people.

- Ends - For further information contact:

Investors Media Rowan Wilkie Marcia English +61 418 577 956 +61 406 380 310 End CA:00192648 For:SPT Type:GENERAL Time:2010-03-18:12:27:11

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