USA. Autogrill’s US subsidiary HMSHost has reached an agreement to buy Concession Management Services’ (CMS) airport food & beverage business.
CMS generated airport F&B revenues of around US$40 million last year, a figure that is set to rise to about US$50 million in 2016.
The transaction covers 16 points of sale, 12 of them at Los Angeles International Airport and four at Las Vegas McCarran International Airport.
The deal is expected to be closed by the end of the summer, once the necessary authorisations have been obtained from airport landlords.
The acquisition of CMS’s business is part of HMSHost’s strategy to strengthen its leadership position in airport food service in North America and at Los Angeles and Las Vegas airports, in particular, Autogrill said.
“The acquisition of CMS’s business will enable HMSHost to widen its operations and give travellers at Los Angeles International Airport and Las Vegas McCarran International Airport an even vaster offering,” commented HMSHost president and CEO Steve Johnson.
“We will carry forward the values that have always characterised our collaboration with CMS, such as service excellence and a focus on the growth and development of our associates.”
Footnote: Steve Johnson is speaking at next week’s Airport Food & Beverage (FAB) Conference & Awards, organised by The Moodie Davitt Report in Geneva. He will appear in a powerful panel addressing the subject ‘Why good isn’t good enough – how high should we set the bar?’ along with Caviar House Airport Premium President Peter Rebeiz and Abu Dhabi Airports Acting Chief Commercial Officer Dan Cappell.
Click here for programme details.
