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18. März 2013 market – a focus Research Center on deals activity

Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

Tarom and CFR Switzerland is interested in the privatisation of ’s Tarom airline Marfa see interest company and CFR Marfa rail cargo company, the Romanian from Switzerland transportation Ministry said in a press release. The ministry’s statement followed a meeting between Transportation Minister Relu Fenechiu and Jean-Hubert Lebet, Switzerland’s Ambassador to . CFR Marfa is a strategic asset which has already seen non-binding offers from several companies, Fenechiu noted, adding that CFR Marfa’s advantages are its access to the Black Sea and an infrastructure made up of locomotives, wagons and warehouses. Tarom has a private management board which has recently drawn up a restructuring programme aimed at cutting losses and regaining routes now operated by private companies, Fenechiu said. “The company’s restructuring plan spans over three years because it would not be wise to sell a company with losses. We wish to put the company back on track and then privatise it,” the minister said. Tarom’s 20% stake, initially scheduled to be sold via an IPO in the first half of 2012, was valued at around EUR 55m at the end of 2011, when the company’s share capital totalled RON 1.2bn (EUR 247m).

15.03.2013 Government Press Release (translated)

Nederlandse Nederlandse Spoorwegen (NS), the Dutch railway operator, has acquired Spoorwegen a 49% stake in the city transport provider HTM for EUR 45m, het acquires 49% in Algemeen Dagblad reported, citing the Hague city alderman for Finance, HTM for EUR 45m Boudewijn. The Hague city will hold on to 51% in HTM. During the coming years, EUR 75m will be invested in the public transport in the Hague.

14.03.2013 Algemeen Dagblad

Deutsche Bahn Deutsche Bahn AG confirms that it is currently in negotiations for the confirms acquisition of the Central Eastern European business of Veolia Transdev negotiations to buy (Veolia Transdev Central Europe). The acquisition is still subject to Central Eastern approval by the Supervisory Board of Deutsche Bahn AG and by the European business relevant merger control authorities. Veolia Transdev Central Europe of Veolia Transdev operates regional bus transport in six Central Eastern European countries (Croatia, Poland, , , Slovenia and the Czech Republic). DB Arriva, Deutsche Bahn's subsidiary responsible for regional transport outside of Germany, operates bus and rail transport in 12 European countries, including the Central Eastern European markets.

13.03.2013 Company Press Release

CFR Marfa’s The Romanian Transportation Ministry has mandated a Deloitte-led privatisation to be consortium to sell CFR Marfa, the state-owned Romanian railway cargo advised by Deloitte- company, Ziarul Financiar reported. The ministry awarded the mandate led consortium as part of an emergency situation, without advertising any legal tender, Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

read an announcement cited by the report. Besides Deloitte, the advisory consortium includes Musat & Asociatii and Systra, the report said. CFR Marfa’s privatisation was supposed to be launched in March and wrapped up by mid May, as part of an agreement signed last year by the government of Romania with the International Monetary Fund, according to the report. On 31 December, 2012 CFR Marfa’s outstanding debts totaled RON 1.8bn (EUR 410.4m), of which RON 600m (EUR 136.8m) was owed to the state budget and an equal amount had to be reimbursed to CFR, the state-owned railway company. The transportation ministry hopes to raise some EUR 60m from selling the 51% stake in the company.

13.03.2013 Ziarul Financiar

Cargo Slovakia not The merger of the Slovak state-owned railway company ZSSK Cargo with likely to merge with its bigger Polish counterpart PKP Cargo is not on cards at the moment, PKP Cargo in near wrote SME. The item cited a PKP Cargo spokesperson, who said that future unless Cargo Slovakia reduces its debt and restructures the company PKP Cargo will consider the acquisition as too problematic. Although the Slovak Ministry of Transport did not comment, the merger of Cargo Slovakia with the Czech state owned CD Cargo or alternatively investment by a Russian partner is also an option, according to an earlier announcement of the Ministry. However CD Cargo spokesperson said that no steps toward the merger with its Slovak counterpart have been taken yet. Cargo Slovakia current debt is EUR 600m.

13.03.2013 SME

Urbanos acquires Urbanos, the Portuguese logistics group, has acquired Spanish media Logista for distribution group Logista for an undisclosed sum, reported Diario undisclosed sum Economico. Urbanos CEO Joao Pecegueiro told the business daily that Logista has annual sales of around EUR 100m and this figure is expected to grow by between 20%-30% in three years from more clients. The report gave no values for the Iberian deal.

12.03.2013 Diario Economico

BDZ freight ’s Privatisation Agency (PA) has extended the deadline for operations: Tender binding offers for the freight unit of the state-owned railway entity BDZ. deadline extended According to a recent announcement, the new deadline is 28th of March. to 28 March 11.03.2013 Government Press Release

Russian Railways Russian Railways, the owner of Finland Railway Station in St. keen to gain Petersburg, is interested in attracting an external investor to finance the external investor station's development, project adviser Vladimir Andreev said. Andreev is for Finland Railway the managing partner at TransTerminal Proekt, a consultancy advising Station project in for the Finland Railway Station project. The total cost of redeveloping St. Petersburg - the station stands at RUB 15 bn (USD 500m), he said. Russian Railways adviser has agreed to and would be receptive to having an investor on board for the historic station, Andreev said. The deal would most likely be Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

structured through a commercial real estate-focused SPV, in which the investor would own an equity stake, he said. However, The external investor's interest in the project could be larger than that held by Russian Railways itself, Andreev noted. Preliminary talks with unspecified Finnish companies have already started and more interest is expected from Scandinavian countries, Andreev noted. Formal talks are due to start soon, he said without elaborating further. Finland Railway Station is home to the Allegro high-speed train that connects St. Petersburg with Helsinki in three hours. Once the infrastructure of the station is developed, business people from Finland could use the newly planned facilities, such as conference rooms and a hotel, Andreev said. The station, which handles northbound traffic to and from St. Petersburg, was built in 1870 and now serves 12m passengers a year.

08.03.2013 Proprietary Intelligence

Spedition Kunze Spedition Kunze, the privately-held German logistics company, has been acquired by acquired by domestic rival Hellmann Worldwide Logistics retroactively Hellmann from 01 January, according to a press release. The acquisition includes Worldwide all Spedition Kunze subsidiaries and is subject to regulatory approval. Logistics The financial terms were not disclosed. Spedition Kunze, together with its sister company S+L Spedition, generates a turnover of EUR 82m. The company has 470 employees.

07.03.2013 Company Press Release

Balfour Beatty to Balfour Beatty has announced that it will divest its mainland European divest mainland operations due to challenging conditions. In its financial results news European rail release, the company said: Strategic decision taken to divest of Mainland operations European rail operations; non-underlying cost of GBP 104m incurred including GBP 95m goodwill write down: "Conditions in our traditional rail markets in Europe have been challenging. In Italy and Spain, activity levels have reached a critically low level. In Germany and the UK intense competition has driven increasing commoditisation. The operational and strategic review of our Mainland European rail business, which we started in the fourth quarter, has concluded that maintaining a rail presence in Mainland Europe is not consistent with our strategy which calls for building a strong local presence in our geographies in a number of market sectors. In Mainland Europe, we essentially operate only in rail. Therefore, we will be divesting of all of our Mainland European rail businesses through a process that ensures that the businesses and their customers continue to receive full support. This decision has resulted in a goodwill write-down amounting to GBP 95m. As a first step in the divestment process, we have sold the Spanish business to its management post year end. We continue to see attractive opportunities in the major signalling and electrification projects that we deliver internationally."

07.03.2013 Company Press Release

Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

Sameday UK CitySprint are pleased to announce that CitySprint has acquired acquired by Sameday UK, the Warrington-based firm that specialises in same day CitySprint logistics, expanding our reach and consolidating our position as the UK’s leading private same day distribution company. We have acquired all of Sameday UK’s operations, which includes a local and national customer base. Sameday UK’s employees have transitioned over to CitySprint, and the local contact details will remain the same. Patrick Gallagher, Chief Executive of CitySprint, said, “This deal marks yet another important step forward in our growth strategy. We are the UK’s leading private same day distribution company, and we plan to keep increasing our reach through local acquisitions, to ensure that we can offer our customers the best possible service.”

06.03.2013 Company Press Release

Russian Bus Lines Russian Bus Lines (RBL), a Moscow-based passenger freight and bus eager to hear station management firm, is keen to sell up to a 25% stake, Vice minority stake sale, President Valery Zaitsev said. An equity capital raise is needed to JV offers augment in-house resources in driving the firm’s growth on its traditional Moscow niche market as well as in other regional markets, the executive noted. Growth plans include the purchase of new buses, seeking new passenger routes and upgrading of some of the bus stations under the company’s ownership or those where it is bidding for management rights, Zaitsev said. As an example, the executive cited the Moscow government’s current plans to develop between 30-50 new bus stations for intercity buses. “We’re bidding for the management rights of these stations.” The executive declined to put a price tag on the stake earmarked for disposal, citing a lack of valuation of the company, which can be done as a part of a deal. In any case, management plans to sell only a minority stake not exceeding 25%, as it does not intend to significantly reduce current shareholders’ control over the firm, the executive explained. RBL will also seek JV partnerships in other parts of Russia and other CIS states. The focus of such JVs could be joint ownership of passenger bus companies or co-management of local bus stations and related facilities, Zaitsev said. RBL manages bus stations in 11 Russian regions. In Moscow, it runs its own fleet of intercity buses, transporting passengers to destinations in and outside Russia, as well as manages bus stops, complementary infrastructure and facilities on a commercial basis for the city government.

05.03.2013 Proprietary Intelligence

Wolfgang Marek Wolfgang Marek Transporte, the family-owned Austrian freight Transporte files for company, has filed for insolvency at a regional court in Wels. A insolvency statement issued via an Austrian credit reference agency stated that Wolfgang Marek Transporte specialises in freight services for the paper and chemicals industries.

05.03.2013 Company Press Release

Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

Rave close to Rave, the French privately-owned transportation group, is understood to concluding buyout be close to concluding a buyout of the company, daily Les Echos with backing from reported. The report cited sources as saying that existing shareholder Siparex and Carvest Siparex could reinvest in the business, while investment fund Naxicap - report Partners could sell its shares to Carvest. 57% of the company’s shares are controlled by its management and the company reported sales of EUR 90m in 2012.

05.03.2013 Les Echos

Portuguese Portugal's Government has mandated Roland Berger as the consultant Government on all privatizations of state transport operators, reported Diario mandates Roland Economico. Sources familiar with the situation told the business journal Berger for all state that Roland Berger has been mandated by the Government in the transport privatization of all state-owned transport firms including Carris and privatizations - STCP, the bus and tram operators in Lisbon and Porto. The same report consultants will assist in the privatization of the two city's underground networks, as well as state rail operator CP and ferry firm Transtejo, according to the same sources.

05.03.2013 Diario Economico

East Coast rail line The East Coast main line, which connects London with the Edinburgh to remain in state and Newcastle, is likely to continue to be state run, reported the hands – report Financial Times. The nationalised operator of the line has been asked to prepare a five-year (2014-2019) business plan by the UK government, the report said, citing a source from the operator. The decision is likely to be confirmed by the Department for Transport (Dft) in April, the article said. It will come after the West Coast main line debacle, where a challenge to a decision to award the franchise to a rival by the incumbent operator Virgin Rail revealed far-reaching failings at the DfT, the item said. The fiasco resulted in the cancellation of tenders for three other franchises (Great Wester, Thameslink and Essex Thameside) set to expire during 2013, the report said. The East Coast line has paid the UK government an estimated GBP 640m since 2009, the item noted.

04.03.2013 Financial Times

Coyote Logistics Coyote Logistics, a Chicago, Illinois-based third-party logistics company, could IPO next year will “most likely” exit via an IPO, possibly as soon as next year, as 2013 revenue hits according to a source familiar with the company. Warburg Pincus- USD 1bn, source backed Coyote had approximately USD 800m in 2012 revenue, up from says; could attract USD 558.7m in 2011, and is expected to hit the USD 1bn revenue mark buyer, industry this year, according to the source. Warburg has been invested in Coyote sources say since 2007. A sale is not “off the table” for seven-year-old Coyote, which could “hear interest at some point,” potentially from international freight forwarding companies interested in Coyote’s US market share, the source said. The source said Coyote is under no pressure to exit and is waiting for market conditions to improve further before pulling the trigger on an IPO. Two industry sources said Coyote’s inroads in the Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

beverage industry could help make it an attractive target to domestic firms and that its US operations might be attractive to both foreign and US companies. C.H. Robinson Worldwide, a third-party logistics company with a market capitalization topping USD 9.2bn, could be a fitting Coyote acquirer, said the sources. C.H. could find Coyote’s beverage and other sector business attractive, they said. Germany-based DB Schenker, which has US operations and serves multiple markets, including consumer, could be a match to acquire Coyote, said two other industry sources. Schenker could benefit from increased US revenue and Coyote could potentially fit well for it, said the sources. UK-based CEVA Group, whose revenue streams are split between 170 countries in the Americas, Asia-Pacific, Europe, the Middle East and Africa, also could be a fitting Coyote acquirer, the sources said, noting CEVA also might benefit from a further injection of Americas revenue.

01.03.2013 Proprietary Intelligence

Philson Haulage Philson Haulage (Southern) (“Philson”) has been acquired by Gregory acquired by Gregory Distribution (“GDL”), according to a company press release issued by Distribution Philson adviser Meridian Corporate Finance. Philson, specialises in the temperature controlled storage and distribution of refrigerated fresh produce both in the UK and Europe. The company works with importers in the general food, fruit and vegetable sectors, and also provides a distribution network for one of the UK's leading supermarket chains. Its fleet consists of over 30 vehicles travelling over 5 million miles per year. Gregory Distribution operates from 17 sites in the UK and has 450 trucks doing 40 million miles a year, 1,250 employees and an annualised turnover in excess of GBP 100m.

28.02.2013 Company Press Release

Sopitra sells 50% Jean-Pierre Peuze, the director of the French transportation group stake to Rave Sopitra, has sold his 50% stake to Rave, WK Transport Logistique reported, citing the bidder's president Frederic Charbon. The news report noted that Rave has signed an agreement to purchase the remaining stake from the other director Alain Daval. Sopitra recorded a turnover of EUR 40m last year with 440 staff members, the article stated.

28.02.2013 WK Transport Logistique

Luch seeks Luch, a privately held Russian transportation company headquartered in investors for a the Leningrad Region, is keen to hear investors’ offers for a minority minority stake in stake in its subsidiary Metakon, co-owner Aladdin Mamedov said. Metakon Metakon specializes in the development and management of parking facilities, as well as complementary services for heavy tonnage trailers. It also builds such facilities on clients’ orders on specified locations, the executive noted. The management needs external investment, estimated at “millions of rubles” in exchange for a 10% stake, to boost Metakon’s operations. He declined to put a price on the stake. The executive noted Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

that parts of the sought equity capital will be used to fully automate Metakon’s parking facilities as well as all cargo-loading and unloading operations, which are currently done mechanically. Such automation will significantly shorten the time needed for these operations, he explained. Mamedov said the deal could be a win-win for all parties because parking facilities are particularly in high demand in large Russian cities, where long-wheel, heavy-tonnage trailers are banned from entering the cities as one of the measures being taken by the authorities to fight multi-kilometer traffic jams in Russian cities, Mamedov explained. Consequently, these facilities are usually placed on the outskirts of large cities to enable trailers unload their luggage and return home without entering the cities. Smaller trucks are then used to ferry the luggage to their final destinations. Moscow city government has officially issued a directive banning all heavy tonnage trailers from entering the Russian capital, effective from 1st of March. The firm has received offers of about RUB 5bn (USD 166.7m) from the Moscow City Hall to erect at least five of these facilities on the outskirts of the city. Metakon is solely owned by Luch, which specializes in intercity cargo freightage and related services.

28.02.2013 Proprietary Intelligence

Cargo Slovakia Strategic partnership with a Russian partner is one way to save the might seek Russian indebted Slovak state owned railway operator Cargo Slovakia, wrote strategic partner Pravda. The article cited spokesperson of the Transport Ministry, who said that the Ministry is currently engaged in intensive talks with Cargo Slovakia management regarding the future of the company. Another possibility to help the indebted company could be a merger with a Polish or a Czech partner. He said that it is too early to speculate, which option will be carried through. Cargo Slovakia posted loss of EUR 24m last year, the item said.

28.02.2013 Pravda

RZD 5% stake sale Russian Railways (RZD), the state-owned Russian railway group, has viewed by end of seen various views from government officials, regarding its privatisation, 2013 but according to Vedomosti. The paper cited Andrey Belousov, the Minister privatisation seen of Economic Development, noting that the privatisation of a 5% stake in differently by RZD should take place by the end of 2013. Meanwhile, Olga Dergunova, government Head of Federal Agency for State Property Management noted that it is officials impossible. According to Dergunova, the privatisation of RZD in 2013 was not initially planned. Vedomosti also reported, without sourcing this information, that the European Bank for Reconstruction and Development (EBRD) may be the buyer of a 5% stake. The 5% RZD stake was valued in a previous report at RUB 56bn (USD 1.84bn).

28.02.2013 Vedomosti

Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

Veolia CEO aims to Antoine Frerot, CEO of listed French utility giant Veolia [VIE FP], is offload more Veolia hoping that Caisse des Dépôts (CDC) will take a yet bigger percentage Transdev capital to than the already promised 60% in the capital of Veolia Transdev, the CDC transport division of the listed French utility group. Frerot said he was aware CDC has already made a big effort by agreeing to take control of Veolia Transdev, but he would welcome CDC going up by another notch. In any event, “our objective remains a total disengagement from Veolia Transdev”, Frerot said. CDC, which already owned 50% in Veolia Transdev, agreed in October 2012 to buy a further 10% in the division while Veolia will retain a 40% stake in it. Veolia did try to find another partner to accompany CDC’s investment but talks with Cube, the investment fund of Natixis, failed. So, on top from a potential extra gesture from CDC, Frerot will continue to strive to find takers, he pointed out. A spokesperson for CDC declined to comment. But the source with knowledge of Veolia Transdev said there was little inclination on the part of CDC to put more money into Veolia’s transport unit. Veolia Transdev also needs to solve the question of its stake in SNCM (Societe Nationale Maritime Corse Mediterranee). SNCM is 25% government-owned but Veolia Transdev owns 66%. CDC will also be happy to see Veolia Transdev make some progress with asset divestitures. A source familiar with the situation did point out the framework agreement signed with CDC was subject to conditions, such as divestments, to meet before the final closing. He said there are some assets in Eastern Europe that Veolia Transdev is in the process of selling. “We are on track”, it will be “just a matter of time” before completion, the source familiar added. In Eastern Europe, Veolia Transdev operates in the Czech Republic, Slovakia, Poland and Croatia, among others.

27.02.2013 Proprietary Intelligence

PKP Cargo to be Polish railway cargo company PKP Cargo will be ready for a debut on the ready to debut on stock exchange in 4Q13, but the final date will depend on market stock exchange in conditions, Puls Biznesu reported citing Lukasz Boron, the newly 4Q13, plans appointed chief executive of PKP Cargo. The company will float up to a acquisitions 50% stake. PKP Cargo will look for takeover opportunities according to the item. PKP Cargo is interested in acquisitions in those areas in which it does not have strong position, Boron told Puls Biznesu, without disclosing details.

26.02.2013 Puls Biznesu

Sistema approves AFK Sistema, the listed Russian group, has begun reorganising SG- reorganisation of trans, the Russian operator of specialised railcars for the transportation SG-Trans via of liquefied petroleum gas (LPG), Kommersant reported. The paper separation of SG- reported, without sourcing this information, that Sistema last Friday Trading, for which approved the reorganisation of SG-Trans via its separation from SG- it may invite an Trading. SG-Trading will receive SG-Trans non-core assets, including 12 investor - report bases for storage of liquefied gas, real estate assets, and 64 gas filling stations. Initially, SG-Trading will be fully owned by Sistema. Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

Kommersant learned from industry sources that Sistema plans to attract a strategic partner for SG-Trading, and it is considering the possibility of a sale of a controlling stake in the company. Preliminary talks have been already held with gas major Gazprom and with several gas traders, the sources told Kommersant. The paper reported that the annual revenue of SG-Trading may be expected to be no less than RUB 4bn. Kommersant wrote that SG-Trans will develop exclusively as a railway company. The article further reported that Sistema acquired SG-Trans at the end of 2012 from the government for RUB 22.77bn (USD 750.7m).

25.02.2013 Kommersant

DSVM Group up for DSVM Group, the private equity-owned Danish transport and gravel sale for DKK 2.5bn - company previously known as DSV Miljo, is up for sale, according to report Borsen. The Danish business daily reported, citing unnamed sources, that DSVM is priced at around DKK 2.5bn (EUR 335m) and that Nordea Denmark has been mandated to advise. The paper reported that DSVM’s Chairman, Finn Johnsson, said that no decisions to sell have been made yet. Meanwhile, the paper’s sources pointed to several exit options such as a sale to another PE firm, selling DSVM in smaller parts or even an IPO. The paper wrote, however, that the sales process is still in its early stages so it is thought that a deal will not be concluded until after the summer.

22.02.2013 Borsen

CFR Marfa sees new CFR Marfa, the Romanian state-owned railway cargo company, has management before changed its management four months before its sale, Bursa reported privatization citing Transportation Minister Relu Fenechiu. Alexandru Dragos Draghici, previously a deputy general manager at Gazprom’s Romanian operations, was appointed chief executive officer, Hotnews.ro reported. Draghici, who replaced Denisa Filipescu, would be helped by other five new management board members, Bursa noted, adding that Mustafa Aysun, a former banker, would act as chairman of the board. Fenechiu, quoted by Bursa, said that the new board’s 90-day task was to come up with a plan aimed at cutting CFR Marfa’s losses. The minister added that approximately eight potential investors showed interest in CFR Marfa. Grup Feroviar Roman (GFR), a private Romanian railway cargo company, confirmed its interest in CFR Marfa, provided the government annulled the company’s debts, as reported.

22.02.2013 Bursa

Severo-Uralskaya Federal Antimonopoly Service (FAS), the Russian antitrust regulator, Transportnaya has allowed ZAO Profit (Chelyabinsk Region) to acquire a 49% stake in Kompaniya: ZAO the charter capital of Severo-Uralskaya Transportnaya Kompaniya, a Profit gets FAS' FAS statement said. The deal would result in acquiring the 100% stake in consent to buy 49% Severo-Uralskaya Transportnaya Kompaniya by Profit, together with the stake shares already owned by the bidder, FAS said. The regulator said it had considered the application filed by Profit seeking consent for the Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

transaction and decided to approve it. The main operations of the target (North-Urals Transport Company) are renting out land transportation facilities and equipment. Profit is a Russia-based company that collects, processes and supplies scrap metal, according to FAS.

21.02.2013 Regulatory Authority Press Release

PKP Cargo eyes Polish railway cargo company PKP Cargo may acquire its Slovak ZSSK Cargo counterpart ZSSK Cargo, Dziennik Gazeta Prawna wrote. The item quotes PKP Cargo’s Chief Executive Jakub Karnowski as saying that his company is looking at potential privatization processes abroad. PKP Cargo is particularly keen on targets south of Poland, Karnowski said. ZSSK Cargo is also being looked at by Russian and German carriers, the paper wrote without attributing this information. At the same time, the Slovak authorities are weighting a possible merger between ZSSK Cargo and the Czech company CD Cargo, the newspaper said.

21.02.2013 Dziennik Gazeta Prawna

NefteTransService NefteTransService(NTS), Russia’s private freight rail operator owned by in talks to sell the Aminov brothers, is in talks on a sale of minority stake to Russian minority stake to Direct Investment Fund (RFPI), Kommersant reported. The item cited Russian Direct several industry sources for this information, who also revealed that the Investment Fund - value of the potential deal is about USD 200m. RFPI may attract several report foreign funds as co-investors, the sources noted. A source in NTS confirmed to Kommersant that talks with RFPI had started in 2012. This source also told Kommersant that the company's IPO plans, and talks with RFPI, are separate matters. RFPI is controlled by state-owned bank VEB. In analysts’ view, private placement before conducting an IPO may be an effective solution, although they believe it would be better if RFPI participated in the IPO as an anchor investor, Kommersant reported.

20.02.2013 Kommersant

Financial Alliance Financial Alliance, the Russian railcar operator joint venture of AFK plans to conduct Sistema and its partners, plans to conduct an IPO but it will not take IPO - report place before 2014, Vedomosti reported, citing a source close to Financial Alliance. The source told Vedomosti that plans are being adjusted. The JV owners were seeking to develop the railway business through Financial Alliance, Vedomosti added. As previously announced, AFK Sistema acquired a 50% stake in Financial Alliance from its oil unit Bashneft, for RUB 3.41bn (approximately USD 110m).

20.02.2013 Vedomosti

BDZ: Grup Feroviar Grup Feroviar Roman (GFR), a privately held railroad services provider Roman included on in Romania, has been accepted on the short list of bidders for BDZ’s bidders' short list freight services, Hotnews.ro reported. The online news service quoted Gruia Stoica, chairman of Grampet Group that owns GFR. BDZ is the state-owned Bulgarian railway company. Stoica noted that GFR's potential acquisition of the Bulgarian State Railway’s freight services Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

would put the railway cargo in Bulgaria, Romania and Serbia under a single operator and increase the sector’s competitiveness in those countries. In November, the Bulgarian Privatisation Agency reduced the asking price for BDZ cargo to EUR 51m from EUR 102m, according to a report by Wall-Street. BDZ cargo's previous sale attempt was canceled in July. In 2011, GFR generated turnover of RON 761m (EUR 180m), the news report said, citing Finance Ministry data.

19.02.2013 HotNews.ro

Edy International Edy International Spedition (EIS), a private Romanian logistics Spedition may exit company, could exit insolvency within three years, Bursa reported. The insolvency status company filed for insolvency on 2 August 2012 and could generate profit within three years in the next 12 months, said Vasile Deleanu, partner with EIS’ judicial administrator Rovigo, quoted by the report. The company’s overall debt amounted to RON 220m (EUR 50.2m) by the end of 2012, 48% of which was claimed by ING Bank, 10% by Netherlands-based minority shareholder Westerham Holding and 5% by BRD Societe Generale, the report noted. The company is controlled by Edy Holding with 82.5%, while private equity fund Westerham Holding owns 17.5%, according to the report.

19.02.2013 Bursa

Cargo Slovakia on The Slovak state owned railway operator, Cargo Slovakia, is on a verge of verge of bankruptcy bankruptcy, wrote SME. The report cited Ondrej Matej, the director of - report the Slovak think-tank, the Institute for transport and economy, who believed that it was a big mistake to stop privatization of the Slovak Cargo back in 2006. The Slovak Minister of Transport, Jan Pocatek, said that one way to help the company is to allocate its fleet of wagons into an independent company, which would be jointly held by state and a private investor. The spokesperson of Cargo specified that the company will then lease the wagon from the newly established company and the excess wagons will be offered for lease to other subjects. However the proposal is yet to be approved by the Slovak government. The report said, without citing the source of the information, that at the same time, the Slovak Government is looking for a strategic partner for its railway operator. A separate report by Hospodarske Noviny noted that despite a previous suggestion that Cargo Slovakia will try to merge with its Czech counterpart CD Cargo, the Polish railway operator, PKP Cargo, might prove to bet strategic partner for Cargo Slovakia. The report cited spokesperson of PKP Cargo, as saying that Slovakia is a very attractive market for PKP Cargo. SME specified, without citing the source of the information, that Cargo Slovakia owes EUR 559m and that the company employs 6,000 people.

19.02.2013 SME

Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

Brelet Transport Brelet Transport, French logistic and transportation company, has been sold to Transports sold in its entirety by the CEO Eric Brelet to its domestic rival Gazeau Transports Gazeau, WK Transport Logistique reported quoting the vendor. Brelet Transport posted revenues of EUR 21.6m last year with 154 staff members, the report said.

18.02.2013 WK Transport Logistique

Veolia Transport Veolia Transdev, the French transport group, will sell its Dutch public Nederland put up transport operations Veolia Transport Nederland and the public for sale by Veolia transport activities in other countries, het Financieele Dagblad wrote Transdev citing a statement by Veolia this weekend. Veolia said that eventually a buyer will have to take over existing contracts for public transport. Veolia Transdev noted that it will concentrate on its three core operations: water, waste and energy. The statement said that, as Veolia Transport Nederland is a healthy company, it would make an interesting investment for a strategic shareholder.

18.02.2013 Het Financieele Dagblad

UCL Rail selects UCL Rail, the largest Russian railway operator, owned by Vladimir Lisin, banks for is selecting banks for organising its upcoming IPO, Vedomosti reported. organising IPO - The report cited a source close to UCL Rail's management and a source report close to creditors of NTK. UCL Rail incorporates NTK (Independent Transportation Company) and Freight One (PGK). The IPO is planned for spring this year, one of the sources revealed. The sources did not say what stake will be sold, and on which stock exchange. Vedomosti reported that 100% of PGK may be valued at RUB 180bn. Vedomosti also cited Executive Director at Infoline-Analytics, Mikhail Burmistrov, who valued NTK at RUB 210bn (USD 6.97bn). Burmistrov believes that UCL Rail may place a 20% stake in the IPO, or less, adding that for the company it is important to obtain market valuation, which would help it to refinance debt, Vedomosti reported.

18.02.2013 Vedomosti

ILB Internationale ILB Internationale Logistik, the privately-held German logistics Logistik majority company, has been majority acquired by domestic rival Transit acquired by Transit Transport Flensburg, a German-language press release said. The Transport statement did not disclose any financial terms. ILB Internationale Flensburg Logistik has 135 employees, according to its website.

14.02.2013 Company Press Release (Translated)

Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, March 2013

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