Menzies acquires ground handling business

Aviation services and newspaper distribution group John Menzies has acquired Flight Support, a UK based ground handling business, from Airbase Holdings.

Menzies will pay an initial cash consideration of £4.75m, with a further £0.5m payable over the next two years.

Flight Support is an independent regional UK ground handling company which handles around 34,000 turnarounds per annum.

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The acquisition adds three new airports to the Scottish firm's UK ground handling network, namely Aberdeen, Isle of Man and Guernsey, and further strengthens the division's position in Manchester.

The acquisition also increases existing relationships with Flybe, easyJet, Loganair, Aer Arran and introduces new customers such as CityJet and Blue Island.

After allowing for start up costs, the purchase is set to break even in the current year and become earnings-enhancing in 2013.

The share price fell 0.95% to 624.50p by 08:29.

NR