Bidvest Acquires Consolidated Property Services Australia
Bidvest Acquires Consolidated Property Services Australia. Bidvest is pleased to announce that it has acquired 100% of Consolidated Property Services Pty Limited (“CPS”) from its private shareholders, effective 20 September 2023. All conditions have been fulfilled and the purchase consideration settled using the Group’s international funding facilities.
CPS’s current management team has signed service agreements and remains committed to the business. The Acquisition will double Bidvest’s facilities management operations in Australia and will be earnings and return accretive to Bidvest.
Established in 1977, CPS is a leading Australian provider of integrated property services to more than 145 sites across Victoria, New South Wales and South Australia. Its core cleaning services are focused on tier 1 commercial and retail customers mainly in Victoria and is complemented by technical, hygiene and waste management services. The vast majority of its revenue is generated from direct contracts with building owners and tenants, with many of these relationships spanning in excess of ten years. CPS leverages automation and robotics, smart services and data analytics to drive its competitive advantage and is Australia’s first Climate Active certified cleaning provider offering opt-in carbon neutral cleaning.
The acquisition of CPS is aligned to Bidvest’s stated strategic intent of expanding its international presence in facilities management as well as hygiene services and the distribution of plumbing and related products. The operational footprint of CPS is complementary to that of BIC, Bidvest’s existing facilities management business in Australia, and will add scale that will benefit all stakeholders.
CPS meets Bidvest’s acquisition criteria of being a meaningful player in its chosen niche and led by a management team with deep industry knowledge. Revenue visibility is underpinned by annuity, contractual income converting into good operational cash generation. The company aims to realise additional value through the delivery of a cost-effective facilities management service off a broader geographic reach and service basket in Australia.
