Acquisition in Central America and Contract Win

19 August 2021

John Menzies plc

Menzies expands footprint with acquisition in Central America and contract momentum in Oceania

John Menzies plc ("Menzies"), the global aviation services business, is pleased to announce further expansion in Central America with the acquisition of Interexpresso and additional contract wins in the Oceania region.

Acquisition of Interexpresso

Menzies has agreed to acquire 51% of Interexpresso Costa Rica Corporación ILC, S.A.  ("Interexpresso") which will see Menzies' footprint expand in Central America, an exciting growth market.

Interexpresso is an aviation service provider operating in Central America and headquartered in Costa Rica. Interexpresso's core business relates to cargo handling and aviation security services, primarily consisting of cargo document handling, cargo security screening and aircraft access control. Interexpresso's operations are based in San Jose, Costa Rica, with additional operations in Guatemala and El Salvador. 

Menzies' initial focus will be on developing and growing Interexpresso's core cargo and security offerings across the region with the potential to expand into additional air cargo handling and ground handling services. The joint venture has added three new countries to Menzies' portfolio, creating a strong foothold in Central America to develop its product lines across the region.

Further contract gain momentum in Oceania

In the Oceania region, we are delighted to have secured new business with Virgin Australia in Australia. From mid-October Menzies will provide ground services at Darwin, Cairns and Queenstown and will also provide air cargo services at Darwin.

These wins, following a competitive tender process, are in addition to existing business retained at Sydney, Melbourne, Kargoorlie, Perth, Brisbane, Cairns and Gold Coast airports and are testament to the excellent service levels provided in the region.

Overall, the contracts will see Menzies handle c8,000 flights and c6,500 tonnes of cargo per annum at a total of 10 locations for Virgin Australia.

These new contracts represent a significant expansion of Menzies' operations in the Australian market and build on the recent wins with Qantas and Jetstar.

Philipp Joeinig, Chairman & CEO, said:

"I am pleased to announce our expansion in the Central American region. We have found a knowledgeable partner in Interexpresso and, working together, we will be able to open doors in new, attractive, higher margin and emerging markets in the region."

"In addition, our contract wins in Oceania demonstrate our reputation in that region for providing excellent service and I look forward to developing our relationship with Virgin Australia as we move forward."

For further information

John Menzies plc

John Geddes, Corporate Affairs Director & Group Company Secretary 0131 459 8044

FTI Consulting

Alex Beagley/Fern Duncan 020 3727 1000

Notes to editors:

John Menzies plc ("Menzies") is a leading global provider of ground services, into-plane fuelling and air cargo services. Menzies operates at over 200 airports in 35 countries, supported by a global team of 23,000 highly-trained people.

In 2020 Menzies handled 0.5 million aircraft turns, 1.2 million tonnes of cargo and fuelled 1.9 million turnarounds. Customers include Air Canada, Air China, Air France-KLM, American Airlines, Cathay Pacific, easyJet, Frontier Airlines, IAG, Qantas Group, Qatar Airways, Southwest, United Airlines, WestJet and Wizz. Best in class safety and security is the number one priority each day and every day.

John Menzies plc, one of Scotland's oldest and largest companies, was established in 1833 as a book seller on Edinburgh's Princes Street and is still headquartered in the city. Today the company is an international aviation services business with operations worldwide.