[sgbuffett]

The market is not receiving this half-baked news well despite the company swiftly refuting the $3billion buy price. This ambitious acquisition nets a whopping 161 airports in 20 countries at one go. It is a BIG trawler-size catch. If this goes through, WFS will certainly undergo a management-level shakeup to cut the fats and slash redundancies and bad practices that led to debt pile-up.

Not so easy. They are dealing with unions and complex regulation,  I believe many of the contracts for baggage handling is given by govt agencies with certain worker conditions in these countries. There is no competitive advantage WFS has. That is why it accumulated so much debt due to contracts with onerous hiring obligations.

Once SATS buys it, SATS will be a debt laden company. The only reason WFS is selling is it js becoming harder to refinance its debt pile which is growing.

This is all out foolish decision by SATS management to take short cuts for growth. The board should block it and sack the CEO.