FAQS OCT 20
1. What is happening?
As you may have seen in the press over recent weeks, a Canadian based security firm called GardaWorld has approached G4S and its shareholders about the possibility of them taking over the G4S plc business. GardaWorld’s intention to make an offer was announced on 30 September. This offer was rejected by the Board of G4S plc who believe that it undervalues the business, however it is up to the shareholders of the company to decide whether or not to accept the offer.
GardaWorld will be speaking to the shareholders over the coming days and weeks. At this time there is no certainty that a transaction will be completed. You can find more information at www.g4s.com and www.garda.com
While these discussions are ongoing, GardaWorld has contacted the Trustee of the G4S Pension Scheme ('the Scheme') to discuss how GardaWorld would provide financial support to the Scheme should its bid be successful. The Trustee has had some preliminary discussions with the GardaWorld management and is continuing to engage with them and their advisers to understand the implications for the Scheme should GardaWorld’s bid be successful.
2. Who are GardaWorld?
GardaWorld is a Canadian based security firm offering physical security services, end-to-end cash management solutions and security risk management. GardaWorld has more than 102,000 employees who serve clients in the UK, North America, Africa, Asia and the Middle East. For more information please visit www.garda.com.
3. What is the Trustee doing?
As trustee of the Scheme, the Trustee has a fiduciary duty to act in the best interests of the Scheme's members and beneficiaries. The Trustee is responsible for ensuring that the Scheme is run properly and that members’ benefits are paid as they fall due. Part of this involves engaging with the Scheme’s sponsor, currently G4S plc, to agree appropriate financial contributions into the Scheme.
The Trustee is currently actively engaging with GardaWorld to understand its proposals for the Scheme (including any changes to the current funding arrangements) should its bid be successful.
4. What does this mean for my pension?
There is no change to your pension. The current discussions involve the Trustee understanding how GardaWorld propose to provide ongoing financial support to the Scheme.
5. I have read recent press reports that the scheme has a funding crisis. Is that right?
No. The last valuation of the Scheme was undertaken in 2018 and this showed that the GSL Section was in surplus relative to its 'technical provisions' (i.e. a prudent estimate of the amount of money needed to pay members' benefits as they fall due). Whilst there were deficits in the Group 4 and Securicor Sections, recovery plans were put in place that are intended to restore both sections to full funding on this basis by 2024.
6. Will my pension change?
The level of your pension and when it is paid would not change if a takeover of G4S by GardaWorld took place.
7. Do I need to do anything?
No. If there are any general updates, we will post them on our website, which is: www.g4s.com/g4sps If there are any significant developments, we will write to you again to provide you
with all of the relevant information.
8. What will happen next?
The Trustee will continue to engage with the relevant parties to protect the interests of the members. The Trustee will provide further information as the process unfolds.
9. How long will this go on for?
It is hard to say with any certainty, but we anticipate that this process could take a number of weeks if not months.
10. Will I be kept updated on the process?
Yes, the Trustee will post any general updates on our website, which is: www.g4s.com/g4sps If there are any significant updates, we will write to you again to provide you with all
of the relevant information.
11. Where can I get more information?
If you have any further questions not covered off by this supplement, please call our helpline on 0345 120 0900. The helpline will take a note of your question and make sure that
someone gets back to you. Alternatively, you can email email@example.com. If you email, it would be helpful if you could include "GardaWorld" in the subject.