Globalization of the Pest Control Industry

U.S. pest control companies have become increasingly attractive to international pest control firms.

With 19,500 of the global pest control industry’s 40,000 operators doing business in the United States, international pest control companies are setting their sights on North America and getting involved in the action through mergers and acquisitions. Kemp Anderson, who has more than 20 years of experience facilitating mergers and acquisitions for leading pest control companies, saw the shift to North America begin about 10 years ago.

“I believe that we started to see a major shift in values in North America right around 2005,” said Anderson, president of Kemp Anderson Consulting. “There was an event that happened (in 2006), and that was Rentokil purchasing J.C. Ehrlich.” Rentokil actually entered the U.S. market in 1974 and had a modest presence prior to the J.C. Ehrlich acquisition. With the acquisition of Ehrlich, then the fourth-largest pest management company in the U.S., Rentokil had a platform company for North America expansion and began rapidly acquiring companies in the U.S., Canada, Mexico and Central America.