On its second attempt to buy U.S.-based UTi Worldwide, Danish transport company DSV has been successful. The last hurdle was South African antitrust approval, which was obtained this week.
Jens Bjørn Andersen, CEO of DSV welcomed UTi employees into the fold. The commercial activities of the company will move forward under the DSV brand.
The transaction makes DSV the fourth-largest freight forwarder in the world, by increasing its revenues by approximately 50 percent. Additionally, the combined company will be the world’s sixth- and seventh-largest operator in sea and airfreight, respectively. The company’s global logistics division, road freight and distribution activities in Europe, North America, Africa and Asia will also benefit from the acquisition.
The deal is worth US$1.35 billion, or $7.10 per share of UTi. DSV will now have more than 40,000 employees in 80 countries; more than 1,000 offices and logistics facilities; and 4.7 million square meters of warehousing. Andersen said that, due to the similarities between both businesses, he expects the new organization to integrate quickly and smoothly.
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