Qantas will sell its catering group to UAE-headquartered Dnata for an undisclosed amount.
Subject to regulatory approval, the sale will see Qantas’s Q Catering and Snap Fresh subsidiaries and their 1,200 employees become part of Dnata.
Q Catering operates flight kitchens in Sydney, Melbourne, Brisbane and Perth, while Snap Fresh specialises in providing frozen meals for airlines, healthcare and retail businesses.
Dnata will supply catering to all Qantas flights for an initial period of 10 years, with the airline continuing to design and develop its menu.
The Emirates Group company already supplies Qantas flights in Adelaide, Canberra, London and Johannesburg.
Qantas Domestic chief executive Andrew David says that the sale reflects other recent asset sales where they have made sense for the business. In recent years it sold its Cairns catering facility to GateGroup and Qantas Defence Services to Northrop Grumman.
“The catering businesses will benefit significantly from Dnata’s global footprint, catering expertise, and ability to drive investment and growth for what is a core focus of its operation,” he adds.
Qantas has a major strategic alliance with Emirates Airline, which is a sister company to Dnata.