Key Highlights
- Bluspring to acquire 100 percent stake in LSG India at enterprise value of INR 129 crore.
- Deal provides entry into high growth aviation catering sector in India.
- LSG India Bengaluru unit handles approximately 15000 meals per day.
- Bengaluru operations generate revenue of over INR 110 crore annually.
- Airport passenger traffic expected to rise from 45 million to 70 million by 2030.
- Transaction expected to close within 60 to 90 days subject to conditions.
Bluspring Enterprises Limited has announced its strategic entry into the aviation catering segment through the acquisition of a 100 percent stake in LSG Sky Chefs India Private Limited. The deal, executed via its wholly owned subsidiary Bluspring New Horizon Two Private Limited, is valued at an enterprise value of INR 129 crore and is subject to customary closing adjustments.
The acquisition primarily includes LSG India’s Bengaluru operations, while its Hyderabad business will be carved out prior to completion. The transaction is expected to be completed within 60 to 90 days, subject to regulatory and contractual conditions.
LSG India is a well-established provider of in flight catering and aviation services catering to major domestic and international airlines including IndiGo, Lufthansa, Etihad, and Qatar Airways. The Bengaluru facility spans approximately 9272 square meters and has a production capacity of around 15000 meals per day, positioning it as a key asset in airport linked food services.
The acquired business currently generates annual revenue of over INR 110 crore and operates with mid to high teens EBITDA margins. With a workforce of more than 400 employees, the company has built integrated capabilities across catering and logistics within the aviation value chain.
Through this acquisition, Bluspring gains access to long term in flight catering infrastructure at Kempegowda International Airport under a concession agreement valid until 2039. The company aims to leverage this platform to expand into adjacent airport linked services and strengthen its presence in the broader food and hospitality segment.
Passenger traffic at Bengaluru airport is projected to increase significantly from approximately 45 million currently to over 70 million by 2030. This growth is expected to drive strong demand for aviation catering services, providing Bluspring with a scalable opportunity in a high entry barrier segment.
The company stated that the acquisition aligns with its long term strategy to expand margins and return on equity while building a diversified infrastructure services portfolio. It also highlighted that the move complements its existing food services vertical and enhances its ability to deliver high quality food solutions meeting global aviation standards.
LSG India reported turnover of INR 101 crore in FY2025, INR 64 crore in FY2024, and INR 56 crore in FY2023, reflecting steady growth in recent years.