France’s Elior was looking to divest its railways and motorway catering businesses since the beginning of this month.

As per a source familiar with the matter at hand, Italy’s Autogrill has submitted a bid for the railways and motorway catering unit of France’s Elior.

As per another source, Elior was seeking bids by the end of January for its Areas catering business.

According to analysts, the value of Elior’s Areas business, which has core earnings of about 200 million euros, at 7.5 to 10 times earnings before interest, tax, depreciation and amortization (EBITDA) is lower than Autogrill’s or Britain’s SSP Group Plc which has an EBITDA of 8 to 11 times.

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