Kuehne & Nagel acquires Pracht logistics arm of Hapag-Lloyd

Kuehne & Nagel acquires Pracht logistics arm of Hapag-Lloyd    The Swiss forwarding and logistics group Kuehne & Nagel will acquire Pracht, a logistics subsidiary of Hapag-Lloyd.
   The terms of the acquisition were not disclosed.
   The takeover will become effective on Jan. 1 and will be done via Kuehne & Nagel (AG & Co.) KG, the German affiliate of the Swiss group.
   “With this acquisition, Kuehne & Nagel strengthens its range of contract logistics services in Germany and expands its presence in a new and attractive regional market,” the acquiring group said.
   Pracht, based in Haiger, near Frankfurt, has annual revenues of 200 million euros ($233 million) and employs about 900 staff to provide contract logistics services in Europe. The company also has more than 140,000 square meters of warehousing and logistics space.
   Klaus Heims, spokesman for Hapag-Lloyd, said that its logistics services were not international, and that there were no synergies with the other activities of the group.
   “Pracht does not belong to our core,” Heims said.
   Kuehne & Nagel described Pracht as one of the “leading mid-size providers of integrated logistics services in Germany.” The company provides industry-specific contract logistics services and, in transport logistics, manages a network to all the German and European economic centers.
   Kuehne & Nagel said that the acquisition of Pracht will expand the group’s presence in Germany and strengthen its market position in contract logistics. The big Swiss group has 18,500 employees worldwide and annual revenues of about $6 billion.
   Asked why Hapag-Lloyd was divesting from logistics when other major container shipping groups were expanding their logistics arms, Heims said that the type of services provided by Pracht offered no maritime and air-cargo services that could complement the activities of Hapag-Lloyd Container Line.
   The takeover of Pracht is subject to the approval of various regulatory bodies.