Report identifies rebound in European logistics takeovers

Report identifies rebound in European logistics takeovers    Major mergers and acquisitions made by the largest European logistics companies increased from 42 in 2002 to 52 last year, U.K.-based Transport Intelligence said in a new report.
   The “European Logistics Strategies 2004” report said the 23-percent leap in the number of mergers and acquisitions in 2003 “suggests that an appetite for acquisitive growth has once again returned to the industry” in Europe.
   However, takeover levels are still at only 60 percent of the peak reached in 2000. Within the European market, Germany saw the greatest number of deals completed last year, the report said. Turkey was one of the most popular countries for acquisition deals, with Deutsche Post, Exel, GeoPost and Tibbett & Britten entering the market through joint ventures.
   “Deutsche Post again led the way as far as number and value of deals was concerned,” Transport Intelligence said, citing its $1-billion takeover of the ground operations of U.S.-based Airborne. Deutsche Post also acquired the remaining shares in Securicor Omega (in the United Kingdom), Loomis (in Canada), Ascoli (in Italy), part of Sinotrans (in China), as well as purchases in several other regions. Exel and Kuehne & Nagel were also amongst the most acquisitive European logistics companies, the report said.
   The report also noted the diminishing number of acquisitions outside Europe by European-based companies.
   ‘It seems that many of the largest European express and logistics companies, with the obvious exception of Deutsche Post, have decided that for the time being globalization is off the agenda,” said John Manners-Bell, author of the report.