20th Oct 2016 06:41
LONDON (Alliance News) - SPP Group PLC, which runs food and drink concessions in transport hubs, said on Thursday it has agreed to create a joint venture to enter the Indian market.
SPP has agreed to take a 49% stake in Travel Food Services Pvt Ltd, a leading operator of food and drink concessions in Indian travel locations. SSP will buy the stake in the company for GBP57.9 million from the Kapur Family Trust, SNVK Properties Private Limited and KAPCO Caterers.
The acquisition will take place in two stages. First, SSP will pay GBP39.0 million to take a 33% stake in Travel Food Services. This is expected to be completed by February 2017.
It will then buy a further 16% of the business by the end of 2018 for GBP18.9 million, though the second consideration will be dependent on the performance of the business in the intervening period.
Travel Food Services has around 170 food and beverage outlets in Indian airports and railway stations and operates concessions at Muscat Airport in Oman.
By Sam Unsted; [email protected]; @SamUAtAlliance
Copyright 2016 Alliance News Limited. All Rights Reserved.
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