Philip Jansen, the former chief of BT Group, has been eying a bid to take over FTSE 100 pest control firm Rentokil Initial, according to reports.
Jansen has begun talks with private equity houses to evaluate options for the Crawley-based pest control company, The Sunday Times said.
Rentokil has been pushed into North America in recent years. It bought US peer Terminix for $8bn (£6.7bn) in 2021, which expanded its market share on the continent to 30 per cent.
However, its efforts to grow in the region have failed to pay off. Integration problems have been rife, and the market has not rewarded Rentokil for its efforts.
Shares in the FTSE 100 company plunged in October last year when it issued a profit warning due to soft-than-expected demand in North America. Shares in Rentokil have failed to recover those losses.
Speculation regarding Rentokil’s future began last month when it emerged Nelson Peltz’s firm had acquired a stake in the company. The billionaire is a notorious activist investor and has waged several aggressive campaigns against UK firms in the past.
Analysts said Peltz, who recently abandoned a campaign against Disney, had pushed for a major shake-up of the firm and could campaign for it to swap its listing to the US.
“Given Rentokil does a large chunk of its business across the Atlantic, this could include a push to shift its primary listing to the US, which would be another blow to the prestige of London as a listing venue,” said AJ Bell investment director Russ Mould.
Rentokil has also been looking at additional deals in the US, which could reinforce the case for the move across the pond.
Private equity firm CVC has also been associated with the firm, although it’s unclear if its interest is connected to Jansen’s.