Gategroup to purchase European ops of Lufthansa’s LSG unit – sources

HomeStock

Gategroup to purchase European ops of Lufthansa’s LSG unit – sources

By Arno Schuetze and Klaus Lauer


By Arno Schuetze and Klaus Lauer

FRANKFURT, Nov 26 (Reuters)Switzerland’s Gategroup is nearing a deal to purchase the European operations of Lufthansa’s LHAG.DE LSG catering unit, which the service has provided on the market because it struggles with low margins in a aggressive market, three individuals near the matter mentioned.

An announcement of the deal is predicted after a gathering of Lufthansa’s supervisory board on Dec. 3, two of the individuals mentioned.

Lufthansa and Gategroup declined to remark.

Airline catering firm Gategroup’s supply topped that of industry rival Do&Co DOCO.VIand the two had been the final remaining contenders in a lengthy drawn out public sale, the sources mentioned. Do&Co had no speedy remark.

Gategroup is owned by Singapore state fund Temasek and Asian funding agency RRJ Capital, who took over the corporate in a number of steps from Chinese language conglomerate HNA. Gategroup operates the Gategourmet model.



nasdaq.com