HNA agrees to buy airline caterer Gategroup for USD1.5 billion

Chinese conglomerate HNA Group Co. agreed to buy Swiss airline catering company Gategroup Holding AG for 1.4 billion francs (USD1.5 billion), as billionaire Chen Feng continues on an acquisition spree of aviation assets around the world.
Shareholders would get 53 francs a share as well as the previously declared 30 centimes per share dividend, HNA said in a statement yesterday. The offer price is about 20 percent more than the closing price Friday.
The acquisition builds on the airline and aviation assets the hotels-to-supermarkets conglomerate has made from Brazil to Switzerland. Private companies in China are starting to rival state-owned enterprises in heeding the government’s call to go global. Chinese buyers have announced plans to spend more than $77 billion this year through February, according to data compiled by Bloomberg.
Upon completion of the public tender offer, HNA intends to delist Gategroup, according to the statement.
Shares in Gategroup rose 0.8 percent to 44.10 francs on April 8. They are little changed this year.
The Swiss company’s directors unanimously supported the offer, according to the statement. Credit Suisse Group AG acted as the financial adviser and Homburger AG as legal adviser to Gategroup, according to the statement. UBS Group AG is acting as financial adviser to HNA. Bloomberg

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