CFIUS Clearance: Securitas AB and Kratos Public Safety & Security Solutions, Inc.

Status: Clearance

Acquirer: Securitas AB (Sweden)
Acquired: Kratos Public Safety & Security Solutions, Inc. (U.S.)
Value: $69 million
Industry Tags: Security Services; Technology Services

On February 28, 2018, Kratos Defense & Security Solutions, Inc., its wholly owned subsidiary Kratos Public Safety & Security Solutions, Inc., a leading U.S. security systems integrator, and Securitas Electronic Security, Inc., a U.S. subsidiary of Securitas AB, a Swedish publicly traded (SECUB SS Equity) entered into a stock purchase agreement, whereby, Securitas Electronic Security was to acquire 100% of Kratos Public Safety & Security Solutions. (See Stock Purchase Agreement, Exhibit A to Complaint in CONFORD – Kratos Defense & Security Solutions, Inc. v. Securitas Electronic Security, Inc., ECF Docket No. 2018-0910 (Del. Ch. Dec 17, 2018.) Review and clearance by CFIUS was a condition to transaction. (See id. at Section 7.1.) On June 11, 2018, the transaction was completed after “[r]egulatory authorities [] approved Securitas’ acquisition …” (Securitas AB Press Release, Securitas completes acquisition of Kratos Public Safety and Security division, June 11, 2018.)

Please contact us with any questions.