G4S has raised £348 million through share placing. This, accompanied by the planned sale of business worth a total of £250 million, is hoped to both alleviate the company’s debt, which stands at 3.2 times its earnings before tax, depreciation and amortization, and help restore its public image after criticism for its handling of a government contract and the security contract fiasco for last year’s Olympics in London.

According to trusted sources, the company’s biggest shareholders are in agreement with the action which is considered to be the best option available to the company. The strategic move, alongside an annual cost-cutting programme of £35m is expected to raise more than £600m.

The funds that will be raised are anticipated to help the company reach an acceptable level of debt while also creating capacity in the balance sheet for future investment, Ashley Almana, New Chief Executive for the company said.

This announcement follows the appointment of Mr Himanshu Raja from Misys as CFO.

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