Shares of John Menzies plc (LON: MNZS) today surged 15.9% after the aviation holding company announced that it has acquired 51% of Royal Airport Services (“RAS”), a leading aviation services business based in Pakistan.
Today’s announcement comes just a few days after Menzies’ Executive Chairman, Philipp Joeinig held a meeting with Pakistan’s Prime Minister Imran Khan on Monday. The two discussed proposals regarding the promotion of necessary linkages between aviation and airport services and tourism.
RAS was founded in 2007 and has a strong position in its local markets where it provides services such as ground and cargo handling, airline ticketing and cargo sales across Pakistan. The aviation company deals with both domestic and international airlines across 8 airports in Pakistan and had revenues of over $20 million in 2019.
Philipp Joeinig, Executive Chairman of Menzies, said: “We are delighted to be partnered with Royal Airport Services, the leading aviation services company in Pakistan. The acquisition is in line with our global strategy to offer our service portfolio to new markets and we believe that a presence in Pakistan will provide a strong platform for further regional growth opportunities.
Shujaat Azeem, Chairman of Royal Airport Services, said: “We are delighted to have selected Menzies Aviation, the premium International Aviation Services provider, as our partner to further strengthen the Royal Airport Services business. Menzies / RAS Pakistan will provide the best in class international operating standards to the eight airports in which we operate at in Pakistan. This will enhance the passenger experience, improve air cargo connectivity and support tourism growth in the country.”
John Menzies share price
John Menzies shares today surged 15.9% to trade at 229.6p having rallied from Wednesday’s closing price of 198p.