Pest control and hygiene services firm Rentokil Initial wants to increase its footprint in India, which has one of the world's largest pest problems.
The FTSE 100 company is set to buy HiCare, India’s second-largest pest-control company, from a private equity firm, The Times reports.
HiCare has 30 branches delivering commercial, residential, and termite pest control services with an annual revenue of £8 million.
Rentokil is already in a joint venture with India’s largest operator Pest Control India, a deal it clinched in 2017 after acquiring 57 per cent stake.
The latest acquisition is part of Rentokil’s “cities of the future” strategy to tap fast-growing urban centres, where pests pose a challenge.
The company has made 46 acquisitions since 2020 in cities located across Asia and South America.
Rentokil sees huge potential in India because of its tropical climate and 46 cities with a population of more than a million.
The rising middle class is spurring the demand for higher living standards and they are increasingly seeking the services of professional pest control firms.
India currently has over 6,000 small pest-control companies and Rentokil chief executive Andy Ransom sees a huge potential for mergers and acquisitions.
