SATS, a catering and gateway services provider, is in talks to acquire air cargo handler Worldwide Flight Services from its private equity owner Cerberus Capital Management for as much as US$3 billion, people with knowledge of the matter said.
The Singapore-based company has sounded out financing for the potential purchase, said the people, who asked not to be identified as the information is private. An announcement could come as soon as in the coming weeks should the parties reach an agreement, one of the people said.
Deliberations are ongoing and details could still change, the people said. Representatives for Cerberus and SATS didn’t immediately respond to requests for comment.
Founded in 1971, Paris-based Worldwide Flight Services is the world’s largest air cargo handler operating in more than 160 major airports in over 20 countries, according to its website. The company also provides ground handling services as well as technical support to airlines. Its annual sales stood at 1.3 billion euros (US$1.3 billion). Cerberus bought the French firm in 2018 for about 1.2 billion euros from Platinum Equity.
Any deal will add to a wave of acquisitions betting on the rising demand for logistics services as global travel resumes. Singapore’s PSA International Pte Ltd. last December agreed to acquire BDP International Inc., a transportation company, from US buyout firm Greenbriar Equity Group.
