Sodexo, food services and facilities management company, has acquired Centerplate, a provider of food and beverage, merchandise and hospitality services at sports facilities, convention centres and entertainment facilities.
The deal has been signed for $675m (£511m/€573m) with Olympus Partners.
Connecticut-based Centerplate serves stadiums and arenas, annually hosting more than 116 million guests across its portfolio of venues for events, including 14 Super Bowls, 36 US Presidential Inaugural Balls, All-Star and Championship games for professional American football, baseball, basketball, hockey, football, collegiate athletics, and many of North America’s largest conventions.
The acquisition strengthens Sodexo’s position in the North American market, and brings the group’s sports and leisure business to scale in the region.
Meanwhile in the UK, the acquisition supports Sodexo’s strategy to grow its stadia and cultural destination portfolio. The acquisition also more than doubles Sodexo’s global footprint.
Centerplate’s last 12-month revenues to June 2017 were $998m, with the combined entity expected to be mildly accretive to earnings from 2018.
Pierre Henry, vice-president of the group executive committee and chief executive of Sports & Leisure Worldwide for Sodexo, said: “This acquisition is another step in our long-term strategy to become a leading player in every market in which we are present.
“Centerplate is an ideal partner with highly professional, dedicated teams who bring a wealth of industry expertise. We look forward to working together with Centerplate to bring exceptional Quality of Life experiences to tens of thousands of fans and spectators around the world.”
Chris Verros, Centerplate chief executive said: “With Sodexo, we share the same vision to deliver a unique and memorable service for our clients and guests through our tailored food and beverage programs, unique hospitality design, rewarding event and retail services. Centerplate’s clients will benefit from Sodexo’s global capabilities, solution innovations, other on site services and geographic reach.”