DSV to purchase Panalpina for US$4.6 billion in blockbuster deal | Air Cargo World
Air Cargo World
Subscribe
  • News
  • Data & Tools
  • Events
    • Cargo Airport Growth Summit
    • Cargo Facts Symposium
    • Cargo Facts EMEA
    • Cargo Facts Asia
  • Multimedia
  • Podcast
  • Magazine
  • Archives
Sunday, April 18, 2021
Log In
No Result
View All Result
  • Airports
  • Carriers
  • COVID-19 Vaccine Logistics
  • E-Commerce
  • Freight Forwarders
  • Technology
Air Cargo World
  • News
  • Data & Tools
  • Events
    • Cargo Airport Growth Summit
    • Cargo Facts Symposium
    • Cargo Facts EMEA
    • Cargo Facts Asia
  • Multimedia
  • Podcast
  • Magazine
  • Archives
Log In
No Result
View All Result
Air Cargo World
No Result
View All Result

DSV to purchase Panalpina for US$4.6 billion in blockbuster deal

Nina Chamlou by Nina Chamlou
April 1, 2019
in Freight Forwarders, News
Reading Time: 2 mins read
Share on FacebookShare on TwitterShare on LinkedIn

After weeks of speculation over the future of Panalpina’s ownership, Denmark’s DSV today reached an agreement to purchase its Swiss rival for US$4.6 billion – a merger that will create one of the world’s largest logistics companies, and appears to end the possibility of a merger with the Agility Group

The board of directors at Panalpina said it recommends its shareholders accept the Public Exchange Offer worth about $196 per share, or about 43 percent higher than Panalpina’s stock price as of Jan. 15 when the initial offer was made. According to Reuters, shares in DSV rose 2.5 percent in early trading this morning, while Panalpina shares jumped 15 percent.

“A combination of DSV and Panalpina further strengthens our position as a leading global freight forwarding company,” said Kurt Larsen, chairman of DSV’s board of directors. “Together, we can present a strong global network and enhanced service offering to our clients, further solidifying our competitive edge in the industry.”

DSV made an initial offer to purchase Panalpina in mid-January, for $170 per share, from a combination of cash and DSV shares adding up to about US$4 billion – but Panalpina’s largest shareholder, the Ernst Göhner Foundation, said it did not support a non-binding acquisition proposal from DSV.

In February, Panalpina’s board of directors confirmed reports that, like DSV, it too was flirting with the idea of acquiring a large forwarder – namely, of the Agility Group – but there has been no update on whether or not the deal was discussed any further. With today’s news that DSV will indeed be acquiring Panalpina, it would seem that the Panalpina – Agility merger is no longer on the table.

In a statement today, Panalpina’s board chairman, Peter Ulber, alluded to the company’s long-term negotiations. “In the course of the past weeks, Panalpina’s board of directors and management has been exploring different strategic initiatives and held discussions with DSV about a potential combination,” he said. “The board of director’s assessment is that the updated proposal of DSV is very attractive. It is recognizing the quality of Panalpina’s employees, the company’s strong position as one of the world’s leading providers of supply chain solutions, and its special competencies and know-how in air and ocean freight.”

Prior to this agreement, DSV had been courting other forwarding outfits for months – in October, making a non-binding acquisition bid for CEVA Logistics AG, which was rejected, CEVA saying that the deal “significantly undervalues” it as a standalone company. DSV responded by upping the ante in a subsequent offer, but rescinded it before CEVA could respond.

If the merger is successful, DSV and Panalpina will have a combined pro forma revenue of about $17.7 billion and employ more than 60,000 people in 90 countries. DSV said it will propose the companies share the name “DSV Panalpina A/S,” and will move to begin consolidating operations, administration, logistics facilities and IT infrastructure.

Tags: DSVmergers and acquisitions (M&A)Panalpina
Previous Post

U-Freight, Easyship expand fulfillment partnership

Next Post

Top 3 trends in the evolution of air cargo communities

Related Posts

Cathay Pacific’s cargo revenue swells despite decreased capacity
Carriers

Hong Kong quarantine relaxation to promote airfreight connectivity

April 16, 2021
UPS expands presence at Kansas City Airport
Carriers

Consultant Insight: UPS increases international peak surcharges for second time in 2021

April 16, 2021
Airspace $38 million Series C funding to fuel international expansion
Specialty Cargo

Airspace $38 million Series C funding to fuel international expansion

April 16, 2021
ANA looks to commercialize drone delivery by 2022 with Wingcopter
Carriers

ANA looks to commercialize drone delivery by 2022 with Wingcopter

April 15, 2021
Airfreight e-booking pace picks up as JAS, Saudia Cargo sign on to platforms
Technology

Airfreight e-booking pace picks up as JAS, Saudia Cargo sign on to platforms

April 15, 2021
Listen: Women executives spark empowerment movement in the airfreight community
Carriers

Listen: Women executives spark empowerment movement in the airfreight community

April 14, 2021
Air Canada launches twice-weekly cargo service to Switzerland
Carriers

Air Canada launches twice-weekly cargo service to Basel

April 14, 2021
Avianca files for bankruptcy as LatAm skies stay closed
Carriers

Avianca to seek $1.8 billion with bankruptcy exit in sight

April 14, 2021
DHL Express expands Asia-Pacific routes with 17 new weekly 777F operations
Express

DHL Express expands Asia-Pacific routes with 17 new weekly 777F operations

April 13, 2021
Next Post
HKG freighter flights mostly unaffected by ground stop

Top 3 trends in the evolution of air cargo communities

By subscribing you agree to our Terms of Use and Privacy Policy

FROM OUR CONTRIBUTORS

UPS expands presence at Kansas City Airport

Consultant Insight: UPS increases international peak surcharges for second time in 2021

April 16, 2021
FedEx and UPS emphasize the importance of sustainability

Consultant Insight: FedEx and UPS emphasize the importance of sustainability

April 9, 2021
UPS Louisville Worldport reopens after temporary weather closure

Consultant Insight: What the US infrastructure plan means to the air cargo market

April 2, 2021

SPONSORED

Passenger freighters ‘good solution’ for vaccine airfreight challenges

Executive Q&A with Jan Krems, President, United Cargo

April 1, 2021
United Cargo operates more than 11,000 cargo-only flights in one year

United Cargo operates more than 11,000 cargo-only flights in one year

March 23, 2021
Apex reduces retailer lead times and costs—increasing air charters by 225%

Apex reduces retailer lead times and costs, increasing air charters by 225%

January 29, 2021
  • About Us
  • Help Center
  • Privacy Terms
  • ADA Compliance
  • Advertise

Follow Us

twitter twitter linkedin podcast

© 2021 Royal Media & Air Cargo World

No Result
View All Result
  • News
    • All News
    • Airports
    • Carriers
    • COVID-19 Vaccine Logistics
    • E-Commerce
    • Freight Forwarders
    • Technology
  • Data & Tools
  • Events
    • Cargo Airport Growth Summit
    • Cargo Facts Symposium
    • Cargo Facts EMEA
    • Cargo Facts Asia
  • Multimedia
  • Podcast
  • Magazine
  • Archives
  • Subscribe
  • Log In / Account

© 2021 Royal Media & Air Cargo World

Go to mobile version