gategroup completes acquisition of Inflight Service Group and wins new Retail on Board contract
ZURICH, February 2, 2016
gategroup Holding AG announced that it has met all closing conditions and therefore acquired Inflight Service Group (“IFS”) in full, from funds advised by Triton. The transaction, which will increase gategroup’s revenue by CHF 250 million and EBITDA by CHF 13.4 million annually pre synergies, is expected to be cash accretive to EPS in its first year.
Complementing the transaction is TUI Group’s recently announced five-year contract with gategroup via Gate Retail Onboard. The agreement covers management of inflight retail food and beverage and duty free items as well as pre-order sales in the UK and across the Nordics.
The acquisition of IFS, now concluded, further expands gategroup’s leadership position in Buy on Board services in terms of size, number of customers, business intelligence (with data comprising purchasing preferences of more than 175 million passengers worldwide), and on-board technology.
“We are very pleased to bring together gategroup and IFS, creating the basis for the best Buy on Board offering in the industry and leveraging our proven brand of quality and innovation to delight airline customers and their passengers. Additionally, the signing of the contract with TUI is another step in expanding our platform of customers, and we thank TUI for their trust in gategroup,” said Xavier Rossinyol, gategroup Chief Executive Officer.
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About gategroup
gategroup is the leading independent global provider of products, services and solutions related to a passenger’s onboard experience. For further information: www.gategroup.com
About Inflight Service Group
Founded in 1991, Inflight Service is the leading operator in the Nordic travel retail market, with strong presence in Eastern Europe and emerging presence in other European markets. Inflight Service is headquartered in Kista, Sweden.
The company is a leading travel retail specialist with revenues in excess of SEK 2 billion primarily focused on airline retailing, ferry retailing and the operation of airport shops alongside a small presence in wholesale and retail services.
For further information: www.inflightservice.se
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