Elior Group and Autogrill have announced they have entered into exclusive negotiations over the transfer of 100 per cent of the share capital of Autogrill Restauration Services S.A., owner of Autogrill restaurant concessions at railway stations across France.

Elior Group and Autogrill have announce they are holding exclusive negotiations with a view to transferring 100 per cent of the share capital of Autogrill Restauration Services S.A. which owns Autogrill restaurant concessions in railway stations across France and has annual revenues of €50 million.

Exclusivity for the negotiations will expire on July 31, 2016.

Autogrill and Elior Group will launch an information and consultation process with their respective relevant employee representatives and stakeholders with respect to the transaction. The transaction remains subject to the approval of Autogrill S.p.A. Board of Directors.

"France is and will remain one of the key markets for Autogrill's presence in Europe. In this market we're assessing the advisability of selling the railway station channel, in which we can rely on operations that are high quality but limited in size and where we don't see immediate opportunities for growth, and concentrating on other channels in which we'll immediately be able to act to greater effect. This operation is part of our strategy of constantly strengthening and focusing our business portfolio through acquisitions and disposals to bolster growth through the winning of new contracts," said Autogrill CEO Gianmario Tondato Da Ruos.

"This transaction allows us to accelerate Areas[1]' development strategy in the railway segment and strengthens our leadership position in France. We strongly believe in the benefits of transforming train stations into enjoyable living areas for travelers and others. Together with our landlord and brands partners, we are joining our unique expertise and know-how. In order to ensure the success of those new travel environments and improve customer experience, we will develop and implement innovative and attractive product and digital concepts," said Philippe Salle, Chairman and CEO of Elior Group.

[1]Areas, global number three in travel catering, is Elior Group's international concession catering brand.