INVERNESS-BASED COMPANY ACQUIRES AIRLINE GROUND SERVICES PROVIDER AT ABERDEEN INTERNATIONAL AIRPORT
Dalcross Holdings Ltd, based at Inverness Airport, yesterday acquired Aircraft Services International Group (ASIG) at Aberdeen International Airport (AIA) from Edinburgh-based John Menzies Plc. Highland legal firm Munro & Noble acted for Dalcross Holdings Ltd, with lead solicitor Peter McLuckie coordinating the complex transaction. All ASIG staff have transferred on their existing terms and conditions to Dalcross Handling (Aberdeen) Ltd.
In September 2016, it was announced that Menzies had agreed to purchase the business of the global aviation ground services provider from BBA Aviation in a deal worth $202 million. The Competition and Markets Authority (CMA) subsequently found that there was a possibility that the acquisition, which would reduce the ground handling companies at AIA from three to two, might lead to a substantial lessening of competition there. As a remedy, Menzies offered to divest itself of ASIG’s business at AIA and sought a suitable purchaser.
Dalcross Holdings Ltd, which owns Inverness Airport ground services provider Dalcross Handling Ltd, air cargo handler and freight-forwarder Dalcross Logistics Ltd, and the VIP and business aviation operation at The Highland Jet Centre, has now nearly doubled in size. Dalcross Handling (Aberdeen) provides ground services to Air France, DHL, Icelandair, KLM, SAS and Wideroe, while Dalcross Handling’s client base at Inverness Airport includes British Airways, easyJet, Flybe, KLM Cityhopper and Loganair. It is expected that approximately 11,000 flights and around 1.5 million passengers will pass through the Dalcross Group in the coming year.
Niall Scoular, Dalcross Holdings’ Director of Ground Handling, said that the acquisition is a natural fit for Dalcross and allows the Company’s brand and reputation to be extended through Dalcross Handling (Aberdeen) Ltd. Both ground handling businesses are of a similar size and provide near-identical services in the North of Scotland. He added that the acquisition of the ASIG business is transformational and results in the Company growing from 5 staff in 2007 to nearly 200 in 2017.