London: Dnata, one of the world’s largest air services providers, has announced an agreement to purchase the remaining 50 per cent of its UK in-flight catering joint-venture, Alpha LSG, from the LSG Group. The acquisition expands Dubai-based dnata’s international portfolio, and will make it the sole shareholder of the biggest in-flight catering, on-board retail and logistics company in the UK. The transaction is now subject to regulatory approval.
Alpha LSG was formed in 2012 by the dnata-owned Alpha Flight Group and LSG Sky Chefs; each holding a 50 per cent share of the business.
Since its formation, Alpha LSG has grown into a competitive, industry-leading business. It has revenue of over £290 million and employs 3,500 people across 15 airport catering facilities and two central production facilities in the UK. Each year it produces over 30 million meals, serving more than 160,000 aircraft belonging to its 80 customers.
Robin Padgett, Divisional Senior Vice-President, dnata, 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 of Alpha LSG follows dnata’s increased investment in its catering portfolio this year, having opened new facilities in Houston, Boston, Los Angeles, San Francisco and Vancouver. Dnata’s rapidly expanding catering division now boasts over 10,000 employees who are focused on providing quality catering, in-flight retail and F&B solutions across the globe.
