December 29, 2016

gategroup to acquire Servair, creating clear world leader

  • gategroup takes control over Servair on 1 January 2017
  • Combined presence in 50 countries with 200 facilities and 39,000 employees serving more than 300 airline customers
  • Annual revenue following the acquisition projected to exceed CHF 4.4 billion

ZURICH, December 29, 2016 - On 30 May 2016, Air France entered into exclusive discussions with HNA Group (HNA) for the sale of its inflight catering unit Servair and the transfer of operational control with a view to creating the world-class leader in inflight catering.

Following the takeover of gategroup by HNA on 22 December 2016, gategroup is now stepping into the transaction, acquiring control over Servair as of 1 January 2017. gategroup acquires 50% minus 1 share in Servair for an enterprise value of EUR 237,5 million (on a 50% basis). The transaction will be solely financed by gategroup, initially through a bridge facility which will be replaced by a capital market transaction envisaged in the first half of 2017.

The addition of Servair to gategroup will create an unprecedented offering in the inflight catering business serving more than 300 airline customers in more than 200 facilities with 39,000 employees. Servair will complement gategroup’s global network with a strong presence in France and Africa. Annual group revenue following the acquisition is projected to exceed CHF 4.4 billion.

The acquisition supports gategroup’s Gateway 2020 strategy by allowing it to serve global clients in an unmatched number of locations, to strengthen its culinary excellence and retail on board offering, and to expand into fast-growing markets in Africa and Asia.

Xavier Rossinyol, Chief Executive Officer of gategroup, commented: “We warmly welcome Servair and its employees into a partnership that will be highly beneficial for both sides. The new group will aim to take advantage of the best competences of both gategroup and Servair and at the same time to have the most global network worldwide to better serve our customer. We will operate as one group with global leadership. With this new step we will be able to further accelerate the strategy of efficiencies and growth.”

Lazard is acting as financial advisor, Bredin Prat as legal advisor to gategroup in the context of the acquisition.

Contact
Dagmara Robinson
Corporate Communication and Investor Relations
invest@gategroup.com
+41 44 533 70 32


 

About gategroup
gategroup is a leading global provider of products, services and solutions relating to a passenger’s onboard experience. It specializes in catering and hospitality; provisioning and logistics; and onboard products and services to companies that serve people on the move. In 2015, gategroup achieved a total revenue of CHF3.0 billion and an adjusted EBITDA of CHF169.4 million. The company currently employs more than 28,000 people worldwide. For further information: www.gategroup.com

About Servair
Servair is the leading French and African operator in the airline catering and cleaning business. Ranked fourth on a worldwide basis, with its partners and subsidiaries, Servair offers airlines a range of services essential to air transport and passenger comfort at approximately 44 airports around the world. Its requirements in terms of quality and know-how have made Servair a real driving force for its 120 client companies, whose commercial offer to passengers it helps improve, whilst ensuring strict compliance with the requirements of transport protocol. For more information: www.servair.fr


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