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Deal News Transportation & Logistics What's up in Your Market Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, April 2015 www.pwc.de Deal News Transportation & Logistics What's up in your 15. April 2015 market – a focus Research Center on deals activity Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, April 2015 Kupiec wants to Kupiec, the Polish company operating in transport and forwarding gain a trade segment, seeks to obtain a trade investor, reported Polish daily Parkiet investor citing Chief Executive Leszek Wroblewski. This would allow Kupiec to (translated) expand its range of services, according to Wroblewski. For the time being Kupiec wants to focus on organic growth, the paper reported. The company is also thinking of acquiring smaller forwarding companies, and the talks are ongoing, Wroblewski confirmed to Parkiet. Kupiec posted net sales of PLN 23.09m (USD 6.08m) in 2014, according to the company financial statements posted on its website. 14.04.2015 Parkiet Italian Ministry of The Italian Ministry of Economy has met with ART, the transport Economy meets regulator, over the privatisation of railway network Ferrovie dello Stato with transport (FS), according to a government press release. In the release, the regulator over Ministry said that the meeting took place yesterday (13 April) and Ferrovie dello Stato involved the working group on the privatisation headed by Fabrizio privatisation Pagani and Andrea Camanzi, the head of ART. Marcello Messori, the chairman of FS and Michele Mario Elia, the CEO of FS, were also present at the meeting. The release said that regulatory issues connected to the railway sector were discussed at the meeting. The importance of a clear and stable regulatory framework in regard to opening up FS to private capital and its listing was underlined at the meeting. 14.04.2015 Government Press Release (translated) Santos e Vale wants Santos e Vale, a family-owned road transport company that operates in strategic investor, Portugal and Spain, wants a strategic investor to help it expand to the to expand into rest rest of Europe, said board member Joaquim Vale. The company was of Europe approached by a financial investor last year and two financial investors the year before, said Vale, who declined to reveal the names of the investors. An investment from a transport company that could open doors to the rest of Europe would be much more interesting, he added. Santos e Vale owns its fleet of trucks and its warehouses and has comprehensive coverage of Portugal. It has a joint venture with Palletways for the Spanish market. Although Vale considers his company a generalist road transport company, it has a focus on transporting chemical goods. The company is also investing in a new area – temperature-controlled transport, said Vale. 13.04.2015 Proprietary Intelligence EVR Cargo could The Estonian goverment could privatize EVR Cargo, the state-owned see privatization cargo railway operator, reported a news portal Err.ee. The Russian (translated) language report cited Kristen Michal, the Estonian economics minister, who started his term in office on 9 April. The minister confirmed the privatization of EVR Cargo‘s can be considered, but did not elaborate on Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, April 2015 the avenue in more detail, according to the report. The Estonian businessman Oleg Ossinovski is interested in the target, the report added, citing Ossinovski. Ossinovski‘s Skinest Rail would participate in privatization tender of EVR Cargo, should the government decide to sell the company, as reported by this news service in 2012. 13.04.2015 ERR.ee Kedentransservice Summa Group has challenged a decision of the Board of Directors of 50% stake sale TransContainer, to sell a 50% stake in Kazakh rail container and decision by terminal operator Kedentransservice to the second co-owner, Kazakh TransContainer railway operator National Company Kazakhstan Temir Zholy (KTZ), BoD to KTZ Kommersant reported. Summa, which controls 24.1% in Russian challenegd by co- intermodal container operator TransContainer, does not agree with the owner Summa - procedure of the approval of the transaction, and wanted to raise the report (translated) subject at a meeting of the Board of Directors of TransContainer on 15 April, a source close to TransContainer told Kommersant. The deal should be part of a project for the formation of the United Transportation and Logistics Company (UTLC/OTLK), by Russia, Belarus and Kazakhstan, which now may see delays, the paper reported, without quoting anyone directly for this information. After the consolidation of Kedentransservice, KTZ should contribute the company to UTLC, which already owns 50% + two shares of TransContainer. Kommersant has learned from undisclosed sources that representatives of Summa had informed Zhanar Rymzhanova, chairman of the Board of Directors at TransContainer, that because the deals are linked, there is a risk of potential claim to the company from the shareholders and GDR- holders. The aforementioned source told Kommersant that a decision of the sale should be taken by a shareholders' meeting. 13.04.2015 Kommersant Framptons Leading South West distribution group Gregory Distribution (Holdings) Transport Services Ltd. has acquired the business of Framptons Transport Services Ltd acquired by Gregory based in Shepton Mallet, Somerset, through the purchase of its parent Distribution company PF Holdings Ltd. for an undisclosed sum. This acquisition further expands Gregory Distribution Ltd.’s activities within the West Country, and positions the company for continued future growth. The Frampton business will operate as a stand-alone business unit within the distribution area of the Gregory Group. Framptons has an annual turnover of around GBP 17m, employs 245 people and operates 60 vehicles providing high quality transport services including contract distribution and UK and European pallet delivery. The acquisition includes over 220,000 sq ft of warehouse space in Shepton Mallet. Gregory Distribution is a privately-owned distribution business that provides transport and logistics services in many sectors of the market with about 1,600 employees and an annual group turnover of GBP 150m. 10.04.2015 Company Press Release(s) Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, April 2015 Trans Europa We are pleased to announce that Constellation has acquired a majority Express Holding stake in Trans Europa Express Holding (“TEX”, formerly HSM Group), majority stake working closely with its shareholders and management team. TEX acquired by Group was founded in 1997 and has since grown to the leading provider Constellation of Train Operating Services in Western Europe. The company has developed an excellent reputation as a reliable service provider for the railway sector and employs 900 people. Among TEX customers are all major private and national passenger and rail cargo operators. TEX Group operates in Germany, Switzerland, Austria and the Netherlands. As the leading provider of Train Operating Services, TEX serves as an outsourcing partner and operates rail traffic for its customers. With its own train driver school, the company provides training for qualified railway personnel, both for clients as well as its own needs. Further, TEX provides safety and supervision services for rail track construction and installs rail safety and control systems. Constellation acquired TEX in close collaboration with the shareholders and management team who will remain active in the daily operations of the company as well as reinvest significantly. The strong organic growth of the company will be accompanied with a predetermined buy-and-build strategy to increase the regional reach as well as to extent the current service portfolio to gain market share. “We are very pleased,” says Dr. Heizmann, CEO and co-Investor “that in Constellation we have found a partner with proven expertise in the service sector. The management invests significantly in TEX, which shows the potential which lies in our business.” “The market for services in the railway sector is an opening, growing market and is as such very interesting for us”, emphasizes Dieter Scheiff, Managing Partner at Constellation. 09.04.2015 Company Press Release(s) Kerry Logistics eyes Kerry Logistics Network [HKG:636], a Hong Kong-based logistic service US, Europe provider, is seeking acquisitions for international freight forwarding acquisitions for (IFF) peers in the US and Europe, in a bid to achieve its goal of international globalization, according to chief financial officer Ellis Cheng. The Hong expansion, exec Kong logistics service company is hoping to replicate the success it had says when it entered the Middle East, Canada and New Zealand through acquisitions last year. Acquisition is a faster way for the company to tap markets including Italy, Portugal and Turkey and the United States, instead of having to build teams, Cheng said. Preferred targets should have a strong domestic presence as well as an existing business network in Asia, he added. The Kerry Group logistics flagship raised HKD 2.204bn (USD 284m) from an initial public offering last 2013 of which USD 52m has been set aside for acquisitions. “We’re studying at least 25 targets. Some of them have a valuation of between HKD 100m and HKD 500m each,” he added. Kerry Logistics hopes the acquisitions could create synergies and fit Kerry’s global expansion strategy. 09.04.2015 Proprietary Intelligence Deal News – Transportation & Logistics What's up in your market – a focus on deals activity, April 2015 Liepajas Naftas Russian Railways Logistics (RZD Logistika) has acquired a 50% stake in Tranzits' 50% stake the Latvian rail transportation company Liepajas Naftas Tranzits, The acquired by Russian Baltic Course has reported. The item cited Pavel Sokolov, CEO of Railways Logistics Russian Railways Logistics, for the information. Russian Railways Logistics acquired the Latvian company through its subsidiary RZDL Multimodal, the item added.
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