FedEx set to buy TNT Express for $4.8bn

US parcels and logistics giant FedEx has made a $4.8bn  bid to acquire rival operator TNT Express of the Netherlands, with both sides reaching a conditional agreement on the deal.
The agreement recommends an all-cash offer by FedEx for all issued and outstanding ordinary shares, including shares represented by American Depositary Receipts of TNT Express for a cash offer price of €8.00 per share.
The surprise transaction gives TNT Express an implied equity value of approximately €4.4bn ($4.8bn).
Fred Smith, chairman and chief executive of FedEx Corp, said: “We believe that this strategic acquisition will add significant value for FedEx shareowners, team members and customers around the globe.
"This transaction allows us to quickly broaden our portfolio of international transportation solutions to take advantage of market trends – especially the continuing growth of global e-commerce – and positions FedEx for greater long-term profitable growth.”
Tex Gunning, chief executive of TNT Express, said: “This offer comes at a time of important transformations within TNT Express and we were fully geared to executing our stand-alone strategy. But while we did not solicit an acquisition, we truly believe that FedEx’s proposal, both from a financial and a non-financial view, is good news for all stakeholders.
"Our people and customers can profit from the true global reach and expanded propositions, while with this offer our shareholders can already reap benefits today that otherwise would only have been available in the longer run.”

Share this story

Related Topics

Latest americas news

Kale launches new truck slot management system for handlers

By Damian Brett

Cargo software firm Kale Logistics Solutions has launched a new truck slot management system through its Airport Cargo Community System…

Read More

Share this story

Swissport’s Mena adds Latam role

By Damian Brett

Swissport has appointed Frank Mena as head of the Americas as it combines leadership for its North and Latin America…

Read More

Share this story

Dachser ramps up capacity on Frankfurt-Chicago route

By Rachelle Harry

Dachser USA has added an extra weekly flight on its Frankfurt-Chicago route in response to market demand. The logistics provider…

Read More

Share this story