ITALY. Autogrill has submitted a bid for Areas, the airport catering, railways and motorway arm of French group Elior, according to Reuters.

Earlier this month, it was reported that Elior was seeking bids for Areas before the end of January. Ten private equity funds including KKR, Lone Star and Blackstone were also reported to be considering bidding.

Preferred bidders for Areas will be chosen by March, according to a Reuters source whose comments were reported on Tuesday (22 January).

Areas has core earnings of about €200 million and earnings of 7.5-10 times earnings before tax, debt, depreciation and amortisation (EBITDA). This mean the deal could be worth between €1.5 billion and €2 billion.

Shares in Elior have more than halved since mid-2017 following a series of profit warnings. The firm’s market capitalisation has shrunk to below €2.5 billion.

NOTE: The Moodie Davitt Report also publishes The Foodie Report, the world’s only media focused on airport (and other travel-related) food & beverage. The Foodie Report e-Newsletter is published every two weeks and The Foodie Report e-Zine every month.

Please send all news of food & beverage outlet openings, together with images, menus, video etc to Martin@MoodieDavittReport.com to ensure unrivalled global exposure.

The company also organises the annual Airport Food & Beverage (FAB) Conference & Awards. Last year’s FAB took place on 20-21 June in Helsinki. FAB 2019 will be held in Dallas, Texas, on 26-27 June.