Emirates-owned travel and air services provider dnata is to take full ownership of a UK in-flight catering joint venture.
Agreement has been made for the company to purchase the remaining 50% of Alpha LSG, from in-flight services firm LSG Group.
The deal, subject to regulatory approval, will make it the sole shareholder of the biggest in-flight catering, on board retail and logistics company in the UK.
The acquisition for an undisclosed sum expands Dubai-based dnata’s international portfolio.
Alpha LSG has revenue of more than £290 million and employs 3,500 people across 15 airport catering facilities and two central production facilities in the UK.
It produces more than 30 million meals a year, serving 160,000 aircraft belonging to its 80 customers.
Alpha LSG was formed in 2012 by dnata-owned Alpha Flight Group and LSG Sky Chefs; each holding a 50% share of the business.
Dnata divisional senior vice president Robin Padgett said: “Alongside the LSG Group, we have built a high-performing business in the UK and have helped our airline customers deliver innovative, world-class solutions for their customers.
“We appreciate the strong partner we have had in LSG over the past seven years and are excited to build on our success and bring Alpha LSG’s employees into the dnata family.”
The proposed purchase follows dnata opening new catering facilities in Houston, Boston, Los Angeles, San Francisco and Vancouver. The division has more than 10,000 employees.
LSG Group chief operations officer Jochen Muller said: “This move will help to secure the continued growth of Alpha LSG and we look forward to a smooth transition while we continue our world-leading day-to-day operations.”
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