Etihad Buys Three AD Airport Service Companies

The trio, covering in-flight catering, ground handling and cargo, now fall under Etihad Airport Services, a wholly owned subsidiary of Etihad

Etihad Airways has bought three airport services companies in a bid to consolidate in-flight catering, ground handling and cargo operations at Abu Dhabi International Airport – with a view to raising revenue opportunities and saving costs.

Formerly part of Abu Dhabi Airports Company (ADAC), the three companies, Abu Dhabi Airport Services (ADAS), Abu Dhabi In-Flight Catering (ADIFC), and Abu Dhabi Cargo Company (ADCC), are being incorporated into Etihad Airport Services, a wholly owned subsidiary of Etihad. Details of the acquisitions were undisclosed.

The companies, which employ more than 4,000 people, are being integrated into the airline’s existing organisational structure to maximise economies of scale and other synergies.

The re-engineered business units will continue to provide the full range of ground handling, catering and cargo services to Etihad Airways and other airlines at Abu Dhabi International Airport.

James Hogan, Etihad Airways’ president and CEO, said the deals were “critical to the continued growth of the airline, and more importantly to the sustained growth and development of Abu Dhabi’s aviation industry in general as envisioned in the Abu Dhabi Plan 2030”.

He said airline and cargo customers will benefit from better service levels and greater integration across hub operations.