Worldwide Flight Services Completes Acquisition of Consolidated Aviation Services
Press Release · February 29, 2016
Complementary Acquisition Expands WFS's Presence in U.S. Cargo Handling Market
LOS ANGELES (Feb. 29, 2016) – Worldwide Flight Services (WFS), one of the world's leading cargo handlers and providers of ground handling and technical services, announced today it has completed the acquisition of Consolidated Aviation Services (CAS). Financial terms were not disclosed.
CAS, headquartered in New York, is one of the leading cargo handlers in the United States, serving over 250 airline customers. WFS, which was acquired by Platinum Equity in September 2015, is present at major airports in more than 22 countries on five continents. WFS serves 300 airlines globally, including the handling of four million tons of cargo and 50 million airline passengers per annum.
Olivier Bijaoui, Executive Chairman, President and CEO of WFS, said: "Bringing these two companies together positions WFS as one of the world's premier cargo handlers. CAS is a great fit with WFS and the combination creates one of the most knowledgeable and experienced teams in this industry. We know CAS very well, have great respect for the company, its employees and customers, and we expect a seamless transition."
Bastian Lueken, head of Platinum Equity's European investment team, said: "We are excited to combine these two great companies and deliver on on our promise to support WFS's profitable growth. On a pro forma basis we expect this transaction to substantially diversify WFS's revenues and cash flow and lead to a reduction in the company's senior secured leverage."
Mr. Lueken said the de-levering would result from a combination of additional EBITDA contributed by CAS, new secured and unsecured notes, and a substantial new equity commitment that helped fund the acquisition.
Founded in 1995 by Tom Gores, Platinum Equity (www.platinumequity.com) is a global investment firm with more than $6 billion of assets under management and a portfolio of more than 25 operating companies that serve customers around the world. Platinum Equity specializes in mergers, acquisitions and operations – a trademarked strategy it calls M&A&O® – acquiring and operating companies in a broad range of business markets, including manufacturing, distribution, transportation and logistics, equipment rental, metals services, media and entertainment, technology, telecommunications and other industries. Over the past 20 years Platinum Equity has completed more than 175 acquisitions.