Feral Jundi

Wow, this is big. Centerra Group (formerly Wackenhut/G4S Government Solutions) has 9,000 employees and Constellis is wanting to acquire them. So yeah, I would say that this will dramatically increase the size of the Constellis family, and this action is in addition to their other merger and acquisitions over the last couple of years.

From a quick glance at the kind of contracts they have, it looks like they are heavy into CONUS security stuff, like nuclear security. Their jobs page showed firefighter gigs, medical gigs, and support stuff as well, but lots of security jobs. So this move will definitely get Constellis into the game of DOE contracts in the US.

As to a little background of Centerra Group, they started out in 1960 as Wackenhut Services Inc. Then G4S bought them and called it G4S Government Solutions. Then in 2014, a private equity group called Alvarez & Marsal bought the business and renamed it Centerra Group. On a side note, Centerra Group also acquired a land mine clearance company called The Development Initiative. –Matt

Centerra Group webpage here.

Centerra-Nevada here.

CONSTELLIS ENTERS INTO DEFINITIVE AGREEMENT TO ACQUIRE CENTERRA GROUP
Transaction Unites Leaders in the Safety and Risk Management Sector
Enhances Constellis’ Domestic Presence and Enables Further Penetration of Key Customers, Notably the U.S. Department of Energy
Transaction to Be Supported by Committed Debt Financing Provided by Four Leading Financial Institutions
RESTON, Va. & PALM BEACH GARDENS, Fl. (March 13, 2017) — Constellis, a leading provider of operational support and risk management services, announced today that it has entered into a definitive agreement to acquire Centerra Group, LLC (“Centerra”) and its subsidiaries from an affiliate of Alvarez & Marsal Capital. The acquisition of Centerra, a leading global government and critical infrastructure services company, will significantly enhance Constellis’ U.S. domestic presence and strengthen its relationships with key customers, including the U.S. Department of Energy and the United Nations.
The transaction is conditioned on customary regulatory reviews and approvals, and is expected to close within the second quarter of 2017. Terms of the deal were not disclosed.
The transaction brings together the industry’s two premier safety and risk management providers serving a broad range of customers, including U.S. government agencies (notably the U.S. Department of State, the U.S. Department of Defense, and the U.S. Department of Energy), foreign governments, NGOs and a diverse mix of blue-chip commercial entities. The transaction furthers Constellis’ ongoing strategy of expanding its domestic presence serving well-funded customers with enduring requirements. Constellis will be able to leverage the combined entity’s scale, vertical integration, training facilities, shared best practices and financial resources to strengthen its best-in- class risk mitigation service offering, utilizing the industry’s most revered compliance programs.
Headquartered in Palm Beach Gardens, Florida, Centerra has approximately 9,000 employees operating across the U.S., Africa, the Middle East and other international locations. Centerra has an established track record of more than five decades operating domestically for the U.S. Department of Energy and currently provides operational support and risk management services at 15 U.S. Department of Energy sites across the U.S. In addition, Centerra provides security, fire suppression and base operations support to other U.S. Government customers, as well as humanitarian- focused services and training, such as munitions clearance and related consulting services, to the United Nations and foreign governments abroad.
“The acquisition of Centerra represents a critical step in our continued evolution as an essential service provider, enabling enduring missions for our customers,” said Jason DeYonker, Chief Executive Officer of Constellis. “Centerra greatly enhances our domestic footprint and accelerates our ongoing efforts to further penetrate the U.S. risk management market with such highly regarded customers as the U.S. Department of Energy. Centerra’s well respected brand, exceptional performance and strong leadership bring tremendous value to our combined offering.”
Paul Donahue, President and Chief Executive Officer of Centerra, commented: “We are excited by the combination of Centerra and Constellis, yielding the leading global provider of the most creative, compliant and comprehensive risk management services in the world. Constellis’ award winning compliance programs, exceptional training capabilities and commitment to invest in operational best practices will add value at less overall cost to our customers and partners.”
Financing
Constellis has secured financing commitments from Credit Suisse, Barclays, Citi and Goldman Sachs to fund the acquisition of Centerra and to refinance the combined company’s existing debt.
Advisors
Akin Gump Strauss Hauer & Feld LLP and Paul, Weiss, Rifkind, Wharton & Garrison LLP are serving as legal advisors to affiliates of Apollo Global Management (together with its subsidiaries “Apollo”) and Constellis.
Forward-Looking Statements
This press release includes forward-looking statements. Readers are cautioned that these forward-looking statements are only predictions and are subject to risks, uncertainties, and assumptions that are difficult to predict and many of which are outside the control of the Company. Therefore, actual results may differ materially and adversely, in terms of quantum and timing, from those expressed in any forward-looking statements. The Company undertakes no obligation to revise or update any forward-looking statements for any reason except as may be required by law.

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