French group Elior eyes end of concession catering review in coming weeks
PARIS, March 22 (Reuters) - Elior, Europe's
third-largest catering group, said on Friday that the strategic
review of its concessions catering arm known as 'Areas' should
be completed in the coming weeks.
"The strategic review of the concessions catering business
is under way and should reach its conclusion in the coming
weeks," CEO Philippe Guillemot told Elior's annual shareholders
Guillemot reiterated on Friday that Elior had entered
exclusive talks with European private equity firm PAI Partners
about a potential sale of the concessions catering business,
adding he would not make further comments on the matter.
Elior has cautioned that any indication on the result of its
discussions with PAI Partners would be premature.
Reuters reported earlier in the week that PAI Partners had
emerged as the frontrunner in an auction for the business.
The sale of Areas, which sources told Reuters could be worth
1-1.5 billion euros ($1.1-$1.70 billion), is part of a broader
plan to boost Elior's growth.
It was disclosed at the shareholders meeting that if a sale
of the concessions catering business materialised, Guillemot
would get an exceptional compensation package, whose size would
hinge on the price fetched by the transaction.
($1 = 0.8845 euros)
(Reporting by Dominique Vidalon;
Editing by Sudip Kar-Gupta)
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