SSP Group plc has agreed to acquire the concessions business of Midfield Concession Enterprise Inc. (MCE) in a move that adds 40 new units at seven airports, including four new locations, to the SSP America portfolio. The deal is expected to close in late summer pending necessary approvals.
SSP said the acquisition is expected to contribute an additional $100 million to its North American revenue on an annualized basis.
Patrick Coveney, Group CEO of SSP Group plc, said MCE “is a strong strategic fit for SSP and is highly complementary to our existing business given the makeup of the brand portfolio and its focus on enhancing the passenger experience.”
The acquisition is an important step in SSP’s strategy to accelerate its growth in North America and will give the company a presence in more than 30 of the 80 largest airports in the U.S. The deal will give SSP America new presence in Detroit Metropolitan Wayne County Airport (DTW), Denver International Airport (DEN), Philadelphia International Airport (PHL), and Cleveland Hopkins International Airport (CLE).
The deal will also expand SSP’s existing presence at Minneapolis-St Paul International Airport (MSP), San Francisco International Airport (SFO), and Newark Liberty International Airport (EWR).
Founded in 2002, MCE is a minority-owned concessions company. SSP said the company operates a portfolio of brands “consistent with SSP’s focus in North America on bringing local restaurants to the airport, which reflect the culinary landscape of the region.” In addition, the business includes a collection of boutique brands developed by MCE as well as national and international brands with widespread recognition.
“SSP America is well positioned to pursue ongoing strategic growth, given our investment in developing a talented team of food travel experts who are passionate about bringing a ‘taste of place’ to airports,” said Michael Svagdis, CEO of SSP America. “This acquisition is the latest step in our efforts to expand our presence at a diverse mix of airports across North America. We are truly looking forward to working with the Midfield team during this transition.”
Andrea Hachem, CEO of MCE, noting her company’s focus on steady steady growth, a ‘wow’ customer service program, and a commitment to operational excellence since its founding in 2002 at DTW. “Our success would not have been possible without the dedication of our employees who shared our belief that if we welcomed passengers into our restaurants like we were welcoming them into our home, we would succeed,” Hachem said. “The SSP America team has been a great partner throughout this process, and we’re pleased the two companies understand how important it is to bring a regional flavor to the airport in order to achieve a world-class passenger experience.”
