SIS continues to grow inorganically

Security and Intelligence Services (SIS) has informed the bourses that it has received approval for the acquisition of shares in SIS Prosegur Alarm Monitoring and Response Services (SPAMRS) from Singpai Alarms. The said acquisition is likely to complete in April 2019.

The company is currently a 50 per cent shareholder in SPAMRS and this acquisition would result in SPAMRS becoming 100 per cent subsidiary of the company. It is expected that this acquisition would align well to the group's strategy and would also enable the integration of the business of SPAMRS with the existing business.

Historically, the company has focused on inorganic growth and it aims to grow organically and inorganically in the future too. In line with this aim, the company is doing such an acquisition. Recently, it acquired Henderson Security firm, which is based in Singapore.

In the recent quarter Q3FY19, SIS posted 19.5 per cent YoY jump in revenue and 26.9 per cent YoY jump in its net profit. The company's Q3FY19 revenue mix stood at Security India (38 per cent), Security Australia (45 per cent), Facility Management (13 per cent) and Cash Logistics (4 per cent).

SIS is a leading provider of private security and facility management services in India.

On Thursday, the stock opened at Rs. 847.75 per share, up by 1.5 per cent from its previous close of Rs. 834.95, while it closed at Rs. 837.00, up by 0.25 on the BSE.