Printer Friendly

ARA SERVICES ACQUIRES CONTROLLING INTEREST IN TOP FOOD SERVICE OPERATION IN SPAIN

 Spanish Acquisition Pushes ARA's International Sales
 Over Billion-Dollar Threshold -- More Than $500 Million in Europe
 PHILADELPHIA, July 16 /PRNewswire/ -- As part of its ongoing global expansion strategy, ARA Services, a diversified, worldwide management services company, has agreed to acquire 80 percent of the contract food service portion of Spain's HUSA Group.
 Financial details were not disclosed.
 The move will make ARA one of the top two companies in Spain's rapidly growing contract food service market. Through the acquisition, ARA will assume operating responsibility for all HUSA contract food service accounts, including hospitals, businesses, secondary schools and governmental facilities in Spain, as well as sports facilities like the Olympic Stadium in Barcelona. HUSA's contract food service business is expected to generate approximately $75 million in annual sales during 1993.
 "This acquisition provides us with an ideal opportunity to introduce our food service expertise to the Spanish marketplace," said Joseph Neubauer, ARA's chairman and chief executive officer. "Of importance, outsourcing is no longer just an American business trend. We are continuing to see growing worldwide opportunities for a wide variety of ARA's management services," Neubauer added.
 Acquisition Reflects ARA's Growth Philosophy
 The success of ARA's international expansion, which began in Canada in the late 60s, is rooted in a philosophy that calls for the careful balance of aggressive internally generated growth supplemented by selective acquisitions and joint ventures. ARA's first contact with the HUSA Group came during the 1992 Summer Olympics held in Barcelona, Spain, where ARA was the "Official Food Service Manager" for the Games.
 "The HUSA Group has an outstanding reputation throughout Spain for providing quality services and we are confident this acquisition will provide ARA with a strong foundation for future growth," noted Richard Vent, president of ARA's International Services. ARA plans to retain the current HUSA management team and employees. Juan Gaspart, president of the HUSA Group, will serve as the chairman of the new company, ARA/HUSA, and Antonio Diaz, currently director general of HUSA, will head the daily operations.
 "We are delighted to join hands with the world's premier food service organization and bring to our many accounts and employees the sophistication and unquestioned quality of ARA Services, Inc." Gaspart said.
 "We plan to adapt ARA's proven service systems and marketing programs to reflect the Spanish culture which will in turn benefit all of the ARA/HUSA clients and customers," Vent added. In Spain, like many European countries where the concept of outsourcing is growing, barely 20 percent of the potential contract food service business is run by service management companies. As a result, ARA will focus its attention on converting what are known in the industry as "self-op" accounts to ARA/HUSA managed operations.
 ARA Poised to Lead Growing Global Outsourcing Trend
 ARA's move into Spain represents another major step in the company's efforts to capitalize on the emerging interest in and acceptance of outsourcing around the world. The company's portfolio of international business includes operations in Belgium, Canada, Germany, Japan, the United Kingdom and most recently Czechoslovakia, Hungary, Mexico and Korea. During the past six years, revenues from ARA's international operations have risen steadily to a projected $1.1 billion in 1993, including some $500 million in Europe.
 In most cases, ARA is pioneering the concept of diversified services. For example, when the Berlin Wall fell, ARA was the first U.S.-based company to set up operations in what had been East Germany. Today, ARA operates 30 major accounts there. And earlier this year, ARA established the first major contract food service enterprise in Korea through the formation of a joint venture company with an affiliate of the Daewoo Corporation, one of the country's major trading companies.
 Headquarted in Philadelphia, ARA Services, with 1992 sales of $5 billion, is the world's leading diversified services company providing fully integrated services in the food/leisure, textile rental/maintenance, health/education, and magazine and book distribution fields. ARA is an employee-owned company with more than 124,000 employees worldwide.
 /delval/
 -0- 7/16/93
 /CONTACT: David Flaherty, 215-238-3326, or Tita Cherrier, 215-238-3324, both of ARA Services/


CO: ARA Services; HUSA Group ST: Pennsylvania IN: SU:

CC-MJ -- PH004 -- 2363 07/16/93 09:37 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jul 16, 1993
Words:698
Previous Article:STANDARD & POOR'S STOCK PRICE INDEX OPENING, FRIDAY, JULY 16 /PRN/
Next Article:ARA SERVICES IS LEADING CORPORATION IN GLOBAL SERVICE MANAGEMENT MARKETPLACE
Topics:


Related Articles
ARA BRINGS OLYMPIC TASTE TO PORTLAND
ARA BRINGS OLYMPIC TASTE TO RICHMOND
ARA BRINGS OLYMPIC TASTE TO COLUMBUS
GOLD MEDAL DIETS SUPPORT OLYMPIANS; WEEK ONE: 500,000 MEALS
ARA SERVICES PREPARES LUNCH FOR 5,000 INAUGURAL PARADE MARCHERS
EXPANSION OF ARA SENIOR MANAGEMENT TEAM POSITIONS COMPANY FOR CONTINUED GROWTH
ARA SERVICES IS LEADING CORPORATION IN GLOBAL SERVICE MANAGEMENT MARKETPLACE
ARA SERVICES ANNOUNCES LILLEHAMMER OLYMPICS CONTRACT: DIVERSIFIED MANAGEMENT LEADER'S OLYMPIC HERITAGE SPANS FOUR DECADES
ARA SERVICES GEARS UP FOR GOLD MEDAL PERFORMANCE AT 1994 WINTER OLYMPIC GAMES
Aramark, a world leader in managed services, today announced it has acquired Restauracion Colectiva and Rescot, a food service company based in...

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters