Mitie, a UK-based facilities management provider, has acquired Argus Fire, a UK-based engineering-led fire systems business for a total consideration of £38.0m.
The acquisition builds on Mitie's position as a leading operator in the high-growth, high-margin UK fire and security market.
Argus Fire has over 40 years of experience specialising in the design, installation, servicing and maintenance of active fire protection systems, using sprinklers and inert gas to control fire outbreaks, alongside electronic fire detection and alarm systems.
The company has a broad customer base with long-standing relationships across a range of sectors, including education, healthcare, logistics and industrial warehousing, retail, construction, and transport and aviation. Recent projects include the design and installation of fire suppression systems at Battersea Power Station and across new build warehouse sites for logistics and data storage customers.
The acquisition builds on Mitie's position as a leading operator in the high-growth, high-margin UK fire and security market
Growth in the UK fire and security market continues to be driven by the need to create 'intelligent buildings' through systems integrations and technological solutions, and is underpinned by evolving legislative requirements that place a greater responsibility on building owners and managers to protect occupants.
Argus Fire significantly enhances Mitie's scale and self-delivered offering in this market, complementing the broad range of fire and security solutions added through the recent acquisitions of GBE Converge and RHI Industrials, and provides cross sell opportunities across Mitie's blue-chip customer base.
In the 12 months ended 31 March 2024, Argus Fire delivered revenue of £44.3m (+2% yoy) and EBITDA of £3.8m (+25% yoy). The acquisition was funded from Mitie's existing facilities.
Growth in the UK fire and security market continues to be driven by the need to create 'intelligent buildings' through systems integrations and technological solutions
Managing Director of Mitie Business Services, Jason Towse, said: "The acquisition of Argus Fire brings deep technical capabilities and builds on Mitie's position as a market-leading provider of projects delivery, inspection and maintenance across a broad range of sectors in the c.£3bn p.a. UK fire and security market. We look forward to welcoming Argus Fire's c.200 colleagues to Mitie."
Managing Director of Argus Fire, Matt Lincoln, said: "We are delighted to be joining Mitie. Having access to their blue-chip customer base, benefiting from their financial strength, and being part of a fast-growing fire and security team will lead to greater opportunities. I am very proud of our team and look forward to joining forces with Mitie's complementary skills in fire and security."