© Copyright Acquisition International 2024 - All Rights Reserved.

Article Image - Airport Ground Handling Merger May Give Rise to Competition Concerns
Posted 15th December 2016

Airport Ground Handling Merger May Give Rise to Competition Concerns

Menzies’ acquisition of ASIG may give rise to competition concerns over ground handling services at Aberdeen Airport.

Mouse Scroll AnimationScroll to keep reading

Let us help promote your business to a wider following.

Airport Ground Handling Merger May Give Rise to Competition Concerns
Image

Airport Ground Handling Merger May Give Rise to Competition Concerns

The Competition and Markets Authority (CMA) has found that the merger may lead to a substantial lessening of competition (SLC) in the supply of ground handling services at Aberdeen Airport (including baggage, ramp, passenger, airside cargo handling and de-icing).

Menzies and ASIG are close competitors at Aberdeen Airport and, following the merger, only Swissport will remain as a credible bidder for airlines located there.

In contrast, at the other airports where both Menzies and ASIG are active (Manchester and London Heathrow), the CMA found that there would be a number of credible competitors that could bid for future contracts.

Menzies Aviation plc and Menzies Aviation Inc. (Menzies) agreed to acquire ASIG Holdings Limited and ASIG Holdings Corp. (ASIG) from BBA Holdings Limited and BBA Aviation USA Inc. Both Menzies and ASIG provide a range of services to airlines at UK and international airports.

Menzies can avoid the merger being referred for an in-depth investigation if it can offer a remedy to address the CMA’s competition concerns at Aberdeen Airport. Menzies has until 22 December 2016 to do so.

Kate Collyer, the CMA decision-maker in this case, said:

“It is important that we ensure that airlines transporting passengers to and from Aberdeen Airport are protected against any reduced service quality or increased costs as a result of this merger. We hope that Menzies will respond to our competition concerns and ensure that effective competition between ground handling service providers at Aberdeen Airport is restored.”

All other information relating to this investigation can be found on the case page.

Categories: Strategy


You Might Also Like
Read Full PostRead - Eye Icon
Coronavirus Crisis Fuels Strong Performance of Technology Sectors but Growth Should Accelerate Post Lockdown
Innovation
16/07/2020Coronavirus Crisis Fuels Strong Performance of Technology Sectors but Growth Should Accelerate Post Lockdown

The huge increase in expenditure on products and services from innovative technology sectors during the Coronavirus crisis could rise dramatically as restrictions lift and societies and economies begin to return to some form of normality. This is because busin

Read Full PostRead - Eye Icon
HOSTMAKER launches Bangkok branch
Finance
13/08/2018HOSTMAKER launches Bangkok branch

HOSTMAKER, the leading home rental management company in Europe, has today announced its launch into the Asian market, expanding into Bangkok, the world's most visited city.

Read Full PostRead - Eye Icon
Family Business Owners are the Most Innovative, Study Finds
Finance
02/05/2018Family Business Owners are the Most Innovative, Study Finds

Family business owners are more innovative than owners of non-family businesses but are restricted by limited financial resources, says Dr Roberto Flören, Professor of Family Business at Nyenrode Business Universiteit.

Read Full PostRead - Eye Icon
Fast Food Franchise CFO of the Year 2024 (UAE): Darrell Edon
Finance
13/08/2024Fast Food Franchise CFO of the Year 2024 (UAE): Darrell Edon

PJP Investments Group (PJPIG) is the master franchisee of Papa John’s Pizza in the United Arab Emirates, Saudi Arabia, and Jordan, which currently owns and operates over 120 Papa John’s Pizza restaurants across these territories. As CFO, Darrell Edon drive

Read Full PostRead - Eye Icon
Fourth Annual Major Purchase Consumer Study Provides Insights Across 13 Categories
Finance
14/09/2015Fourth Annual Major Purchase Consumer Study Provides Insights Across 13 Categories

Even with the increasing influence of digital technology on retail habits, the in-store experience is important in all major purchase decisions, with an overwhelming majority of shoppers buying in person.

Read Full PostRead - Eye Icon
Greenwashing, Social Washing and other Laundry Matters
Leadership
29/10/2020Greenwashing, Social Washing and other Laundry Matters

Across the world businesses are reappraising how they operate and, in many cases, challenging what is really important to their workers.

Read Full PostRead - Eye Icon
Liquid Finance Receives Line of Credit From Shawbrook
Finance
21/04/2015Liquid Finance Receives Line of Credit From Shawbrook

Liquid Finance Partnership Ltd (LFPL), a leader in the Merchant Cash Advance sector of the fast growing Alternative Funding market, today announced the establishment of a line of credit with Shawbrook Asset Finance, a division of Shawbrook Bank.

Read Full PostRead - Eye Icon
Falcon Certified Public Accountants
Finance
26/01/2017Falcon Certified Public Accountants

Falcon Certified Public Accountants Ltd., registered with the Hong Kong Institute of Certified Public Accountants, specialises in providing audit, tax and corporate advisory services to a wide range of clients. Founder Gilbert Loke talks us through the firm an

Read Full PostRead - Eye Icon
Tech-led M&A: How to Attract a Buyer
Leadership
05/06/2019Tech-led M&A: How to Attract a Buyer

The tech sector is one of the most targeted for M&A activity, attracting a wide variety of cross-industry buyers.



Our Trusted Brands

Acquisition International is a flagship brand of AI Global Media. AI Global Media is a B2B enterprise and are committed to creating engaging content allowing businesses to market their services to a larger global audience. We have 14 unique brands, each of which serves a specific industry or region. Each brand covers the latest news in its sector and publishes a digital magazine and newsletter which is read by a global audience.

Arrow