French carrier CMA CGM has moved to buy UK logistics firm Wincanton for about $719m in cash.
The offer has been made through CEVA Logistics unit and represents a 52% premium to Wincanton’s closing price on Thursday.
The London-listed firm said its board intends to unanimously recommend that its shareholders vote in favour of CMA CGM’s bid, which would result in the company being delisted from the stock market.
The acquisition signifies notable growth in CMA CGM’s logistics operations and reflects the company’s overarching plan to increase its market share in the logistics industry, especially in the UK.
With almost 100 years’ heritage, Wincanton is active in the UK and Ireland in markets ranging from food and consumer goods to fuel and defence. The deal is expected to add more than 170 sites to CEVA, which operates nearly 900 contract logistics and freight warehouses and ships about 520,000 tons of air freight and 1.3m teu.
“The intended acquisition of Wincanton represents an attractive growth opportunity that is in line with CEVA’s expansion strategy. It is a unique opportunity to expand CEVA’s offering in the UK, and to acquire complementary grocery and consumer expertise.”
The Rodolphe Saadé-led carrier has made a series of acquisitions in logistics, including Bolloré Logistics and the commerce and lifecycle services activities of Ingram Micro. The buying spree backed by profits made during container shipping’s boom years has also seen the Marseille-headquartered firm snap up port terminals, planes and media businesses.
Very interesting news, I understand CMA have alwasy subbed out their haulage to s et of key hauleirs, so ownign their own netowwrk will mean a major shift in strategy for the UK market i’m guessing?