Dnata, Dubai-based international airport and travel services company announced it will acquire 100 percent share of UK based Alpha Flight Group for $158 million.
Alpha is being acquired from Milan-based company Autogrill. It was originally part of Alpha Airports Group which was acquired by Autogrill in 2007
Their full press release follows
------------------------------------Dnata Release ------------------------
Dnata, the international airport and travel services company headquartered in Dubai, today announced it will acquire a 100 percent share of Alpha Flight Group Ltd (Alpha).
Alpha, which is being acquired from Milan-based Autogrill S.p.A. (Milan: AGL IM), is a leading international in-flight catering business with a turnover of GBP360 million (AED2.3 billion) and employs over 5,800 staff in 11 countries. It produces over 120,000 meals per day at 58 airports globally.
The acquisition will increase Dnata’s international portfolio significantly, with the company’s ground handling and catering operations now set to operate in 70 airports in 17 countries. The effective date for the transaction is expected to be by 31st December 2010.
"This acquisition reflects Dnata’s long term strategy to expand and develop our international network,” said Gary Chapman, President Dnata.
"Alpha will complement our existing ground handling and catering operations in Dubai and internationally. The company has a very strong and dynamic management team and I am confident that together we can further develop the business, in line with the outstanding service and quality that Dnata is renowned for.”
It is Dnata's fifth significant acquisition in the airport services sector in the last four years and consolidates Dnata's position as a significant player in the global industry.
--------------Autogrill Releae ---------------------
Autogrill S.p.A. (Milan: AGL IM) has reached an agreement with Dnata, a Dubai-based airport services company, over the sale of 100% of its UK subsidiary Alpha Flight Group Ltd. (originally part of Alpha Airports Group, acquired in 2007), a provider of flight catering services. Alpha Flight thus joins a specialist group that has the capability to support further growth. The sale is a development of existing relationships between Alpha Flight Group and Dnata, which started up in 2007 with a successful partnership in Australia.
The transaction will be closed by 31st December 2010, subject to the approval of the anti-trust authorities and the consent, which the company deems to be a formality, of certain financing banks of the Autogrill Group.
The agreement provides for the sale of 100% of Alpha Flight Group Ltd. and Alpha’s brands at a price of 100 million pounds sterling (€116.3m). The operation will bring about a reduction in Autogrill Group’s net financial indebtedness of around €162m.The price could be increased by an additional maximum amount of up to £6.5m
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