Restaurateur HMSHost, a subsidiary of catering company Autogrill, has reached an agreement with retail operator Concession Management Services (CMS) to buy its airport food and beverage (F&B) business.
CMS’s F&B business generated approximately US$40m in annual revenues in 2015, with revenues in 2016 set to reach an estimated US$50m. HMSHost will take over a total of 16 points of sale, made up of 12 outlets at Los Angeles International Airport (LAX) in California and four at Las Vegas McCarran International Airport in Nevada. HMSHost expects the deal to be closed by the end of the summer.
The acquisition of CMS’s business is part of HMSHost’s strategy to strengthen its leadership position in airport foodservice in North America.
Steve Johnson, president and CEO of HMSHost, said, “The acquisition of CMS’s business will enable HMSHost to widen its operations and give travelers at LAX and Las Vegas McCarran International Airport an even vaster offering. We will carry forward the values that have always characterized our collaboration with CMS, such as service excellence and a focus on the growth and development of our associates.
