ADNH Catering Acquires Food Nation Catering
Deal News | Jan 29, 2025 | Zawya
Abu Dhabi National Hotels' subsidiary, ADNH Catering, has acquired 100% of Food Nation Catering Services, a company specializing in school catering in the UAE. This strategic move aims to enhance ADNH's presence in high-growth sectors, with more than 300 staff and services for over 70,000 students. This acquisition reflects ADNH's broader strategy to expand in thriving industries, following its recent IPO on the Abu Dhabi Securities Exchange which raised AED 864 million (USD 235 million). The acquisition, set to finalize in the first quarter, follows ADNH Catering's increase of its stake in a Saudi joint venture to 50% by acquiring an additional 20% equity share from Compass Group.
Sectors
- Catering Industry
- Hospitality Industry
- Equity Market
Geography
- United Arab Emirates – The location of both ADNH and Food Nation, as well as the primary market for Food Nation's catering services.
- Saudi Arabia – Strategically relevant due to ADNH's recent increased investment in a joint venture with Compass Group.
Industry
- Catering Industry – The core industry within which Food Nation operates, offering specialized catering services to schools in the UAE.
- Hospitality Industry – Relevant due to Abu Dhabi National Hotels' involvement, encompassing a wide range of services beyond just catering.
- Equity Market – The acquisition follows ADNH's recent IPO, reflecting activities related to raising capital and investing in new ventures.
Financials
- AED 864 million ($235 million) – Funds raised by ADNH in their IPO on the Abu Dhabi Securities Exchange.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Abu Dhabi National Hotels (ADNH) | Parent Company | Companies | A hospitality company based in the UAE, seeking to expand its operations and revenue streams through strategic acquisitions. |
| ADNH Catering | Acquirer | Companies | A subsidiary of ADNH focusing on the catering aspect of the hospitality industry. |
| Food Nation Catering Services | Target | Companies | A school catering business serving a large student population across the UAE. |
| Compass Group | Equity Share Vendor | Companies | Previously held a share in a Saudi joint venture with ADNH Catering, which they partially sold. |
| Clive Cowley | CEO | People | CEO of ADNH Catering, involved in executing the company's strategic acquisition plans. |