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Compass Group is the largest food-service company globally, operating in more than 50 countries with annual sales of almost GBP 25 billion. Compass Group’s model stems from operating on-premises catering facilities, rather than centralised industrial kitchens. Food services is Compass’ core focus and contributes more than 80% of revenue. In addition, the company provides support services to clients through activities including cleaning services, office services (for example, concierge services), grounds maintenance, and so on.

Compass Group plc is a British multinational contract foodservice company headquartered in Chertsey, England.[4] It is the largest contract foodservice company in the world employing over 500,000 people. It serves meals in locations including offices and factories, schools, universities, hospitals, major sports and cultural venues, mining camps, correctional facilities and offshore oil platforms. Compass Group is listed on the London Stock Exchange and is a constituent of the FTSE 100 Index. It is also a Fortune Global 500 company.[5][6]

Compass Group has its origins in a company which was founded by Jack Bateman in 1941 as Factory Canteens Limited and which subsequently became known as Bateman Catering.[7] Bateman Catering and Midland Catering were acquired by conglomerate Grand Metropolitan in 1967 and 1968 respectively[7][8] and a management buy-out from Grand Metropolitan followed in 1987 when the Compass Group was formed.[7][8]

Public listing[edit]

Compass Group was first listed on the London Stock Exchange in 1988.[7] Eurest, one of the company’s US subsidiaries, was launched in the United States in 1996 to provide dining services to local, regional and national companies within the business and industry markets, including employee dining centers, on-site catering, vending, executive dining, and other services.[9]

 

 

 

 

 

 

 

Corporate growth[edit]

Compass Group purchased Morrison Management Specialists and then merged with Granada plc as part of a planned strategy to separate the media and catering interests of the latter. The two companies demerged in February 2001 to form Compass plc and Granada Media.[7] It had become the world’s biggest catering firm by 2005.[10]

Compass Group then sold its roadside and travel catering businesses for a combined £1.82 billion in April 2006.[7] The transaction included the sale of 43 Moto motorway service areas to Australia’s Macquarie Bank for an estimated £600 million.[7] Compass’s Select Service Partners (SSP) travel concessions business was sold to companies controlled by private equity firm EQT Partners, for an estimated £1.2 billion.[7]

Compass Group PLC made further acquisitions in 2009, including Kimco in the US[11] and Plural in Germany.[12]

In June 2019, Compass Group PLC announces that it has signed an agreement with Fazer Group, an international family-owned FMCG and direct to consumer group, to acquire Fazer Food Services.[13]

 

 

 

 

 

 

Association with UN and armed forces[edit]

Compass Group’s subsidiary ESS became a UN-registered food vendor in 2000 and then won contracts to supply UN peace-keepers operating in Sudan, East Timor, Liberia, Burundi, Eritrea, Lebanon, Cyprus and Syria.[10]

ESS was contracted by the U.S. Marine Corps, the 82nd Airborne Division, the British Ministry of Defence, the Coalition Provisional Authority, along with the major defense contractors Fluor, RMS, Bechtel, and most notably KBR (a subsidiary of Halliburton) under the U.S. Army troop support contract called LOGCAP III to provide dining and construction services at desert bases and encampments in Kuwait[14] and Iraq[14] from the start of operations in 2003 to 2006.[14]

Reorganization[edit]

In 2011, Morrison Management Specialist was re-organised into three sectors (Morrison Healthcare, Morrison Living, Touchpoint Support Services). Then in 2013 the Czech branch of Eurest was listed as one of the “100 Best Czech Companies” in 2013.[15] The company also acquired Integrated Cleaning Management in 2013.[16]

CEO Richard Cousins’ death[edit]

On 31 December 2017, CEO of the company at the time Richard Cousins was killed in a seaplane accident at Cottage Point near the Hawkesbury River north of Sydney, Australia.[17] The aircraft was a six-seat de Havilland Canada DHC-2 Beaver seaplane.[18] Cousins planned to retire in 2018, with the intention that he would be succeeded as CEO by Dominic Blakemore on 1 April; the succession was brought forward to 1 January 2018.[19]

The acquisition of Unidine, which has annual revenues of around $220m and margins broadly in line with Compass North America, was completed on 31 December 2017. Unidine is one of the largest, pure-play food service providers in the rapidly growing healthcare and seniors market in the United States.[20]

Feedr Acquired[edit]

In 2020, Feedr was acquired by Compass Group Company Information for $24m.[21] Compass Group acquired Feedr just before the COVID-19 pandemic, which allowed the Compass Group Company Information to use Feedr’s online technology to support both the business and people as it was able to send free meals to those in need using Feedr’s technology.[21]

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