Paris and Los Angeles, April 27th, 2015 – LBO France today announced the
signing of an agreement to sell Worldwide Flight Services (“WFS”) to Platinum
Equity.
WFS is the world's largest cargo
handler and a leading global provider of ground handling and technical
services. Today it is present at over 140 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. The company has grown from a family business to a global leader in its
fields and now employs 12,000 staff worldwide.
LBO France acquired WFS in 2006
from French construction leader Vinci. Over the 2006-2015 period, WFS has
pursued its development in fast-growing geographies such as the Middle-East,
Asia and Africa and in complementary businesses (e.g. VIP services, management
of cruise terminals, including in Hong Kong). Most recently, the Group made a
strategic move in Brazil through the acquisition of a controlling stake in
Orbital Group, a leading Brazilian provider of ramp, passenger and airport
security services.
Platinum Equity is a global
private equity firm currently investing from a $3.75 billion buyout fund
focused on acquiring businesses that can benefit from the firm’s operational
expertise. The firm has substantial experience in transportation, logistics and
distribution services, including aviation.
Recently held Platinum Equity portfolio companies include: Active Aero
Group, a North American provider of supply-chain solutions focused on
transportation logistics for customers with sensitive or time-critical freight;
and Neovia Logistics, a provider of spare parts logistics, warehouse management
and fulfillment services, distribution solutions and other value-added
logistics services.
Platinum Equity is working with
WFS and its leadership team on a plan to ensure a smooth transition once the
transaction closes, while developing initiatives to support the company’s
long-term growth strategy.
Proposed transaction is expected
to close by end of June 2015 and is subject to customary regulatory consents
and approvals.
Jérôme Guez, Partner with LBO France, declared: “We are delighted to have participated in the growth of WFS alongside
its management and teams, and particularly to have partnered with them in the
pursuit of its international expansion in the Middle-East, Africa, Asia and
South America. Their work and commitment was instrumental in recent successes
despite a challenging environment. We believe that WFS is now optimally
positioned to capitalize on future growth opportunities while preserving a
profitable business model. We have full confidence that Platinum Equity is the
ideal partner to successfully pursue this work.”
Olivier Bijaoui, Executive Chairman, President and CEO of WFS, added: “We view our future collaboration with Platinum Equity as a unique
opportunity to grow our business and explore new opportunities, leveraging on
our solid foundations and second-to-none experience. Their financial strength
and M&A expertise will be of great support in our acquisition strategy and
help the management to write a new and successful page of WFS history.”
Bastian Lueken, Head of Platinum Equity’s European investment team,
concluded: “We are excited about the prospects for WFS
and look forward to working with Olivier and the management team to take the
next step in the company’s global growth and evolution. We have a great deal of
experience in transportation and logistics and we share the company’s
commitment to providing world class service to its customers.”
Sycomore Corporate Finance acted as financial advisor
to LBO France and Mayer Brown acted as legal advisor. Scotto & Associés was
legal advisor to the management. Deloitte Transaction Services and Roland
Berger provided vendor financial and strategic due diligence reports,
respectively. Benoit & Associés also assisted LBO France in this transaction.
About
LBO France
LBO
France, an independent private equity firm with €3.1bn under management, runs
four non-listed strategies through dedicated teams: (i) Mid Cap LBO White
Knight funds, (ii) Small Cap LBO Hexagone funds, (iii) Real estate White Stone
and Lapillus funds and (iv) Credit opportunities Altercap funds. Responsible
and independent, LBO France is 100% owned by its management in place since 1998
and boasts a team of over 49 professionals.
With
the White Knight funds, LBO France invests in French champions, either already
present or with strong potential for development abroad. LBO France accompanies
them, providing skills and financial means to foster growth, be it organically,
through build-ups or operational optimisation. More than 50% of White Knight’s
portfolio companies turnover is thus generated outside France.
White
Knight focuses on companies whose enterprise value is between €100 million and €2.5
billion. Since 1998, over 27 acquisitions have been carried out over six
generations of funds.
www.lbofrance.com
About
Platinum Equity
Founded
in 1995 by Tom Gores, Platinum Equity is a global investment firm with more
than $6 billion of assets under management and a portfolio of more than 30 operating
companies that serve customers around the world. In 2014, Platinum Equity
portfolio companies generated more than $17 billion in revenue. 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 150 acquisitions.
www.platinumequity.com
Press contacts
LBO France
Anne
de Bonnefon – Tel: +33 (0)1 40 62 66 42 – anne.debonnefon@lbofrance.com
Citigate Dewe Rogerson
Ari Levine - Tel: +33 (0)1 53 32 84 71 -
Mob: +33 (0)6 98 49 22 27 - ari.levine@citigate.fr
Aliénor Miens - Tel: +33 (0)1 53 32 84 77 - Mob: +33 (0)6 64 32 81
75 - alienor.miens@citigate.fr
Platinum Equity
Daniel Whelan – Tel: +1 310-282-9202 – dwhelan@platinumequity.com
