Monday, May 30, 2016

Brahim’s to strengthen position with non-airline catering business.



Brahim’s Holdings Bhd expects its decision to venture into non-airline catering business will put it on a better footing in the next three years.

Its shareholders have been approved the plan to dispose of its 49% stake in Brahim’s Airline Catering Holdings Sdn Bhd, which is involved in in-flight catering service, to Singapore-based SATS Ltd for RM218mil. Brahim’s executive chairman Datuk Seri Ibrahim Ahmad said the company would be able to reduce its dependence on airline catering business by up to 60%.

They have decided that they should look at non-airline catering business and reduce our dependency on airline catering. But this does not mean that they do not do airline catering anymore. SATS is a Singapore-based provider of gateway services and food solutions which lists Singapore Airlines, Qantas, British Airways, United Airlines and Silk Air as its customers. Ibrahim said Brahim’s would leverage on SATS, which has 43 kitchens worldwide and a major player in the airline catering and catering businesses.

As their strategic partner, SATS will support their intentions to explore opportunities for halal in-flight kitchen catering capabilities. They will tap SAT’s know-how on non-airline catering business and leverage on this core competency to venture overseas with their foreign counterparts that want to go halal. Beside that, Brahim’s had also signed with Mahsa College to cater to its institution and they are also looking at collaborations with Tabung Haji and Keretapi Tanah Melayu Bhd to increase their topline revenue in the non-airline catering business.

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