DSV Panalpina Said to Be in Advanced Talks to Buy Deutsche Bahn Unit
Logistics Company DSV Panalpina Is Said to Be in Advanced Talks to Acquire a Division of Deutsche Bahn
DSV Panalpina A/S, a Danish logistics company, is said to be in advanced talks to buy a division of Deutsche Bahn AG, according to people familiar with the matter. The deal could value the business at about €14 billion ($15.2 billion) and would be one of the biggest logistics transactions in years.
The Acquisition Would Bolster DSV's Position as One of the World's Largest Logistics Companies
The acquisition would bolster DSV's position as one of the world's largest logistics companies and give it a stronger presence in Europe. Deutsche Bahn's logistics arm, Schenker AG, is one of the largest freight forwarders in the world, with a network of offices in more than 130 countries.
The Deal Is Said to Be in the Advanced Stages, but No Final Agreement Has Been Reached
The talks between DSV and Deutsche Bahn are said to be in the advanced stages, but no final agreement has been reached. The deal could still fall apart, the people said. A representative for DSV declined to comment, while a spokesperson for Deutsche Bahn said the company doesn't comment on market rumors.
Deutsche Bahn Is Looking to Sell Schenker to Focus on Its Core Rail Business
Deutsche Bahn is looking to sell Schenker as part of a broader effort to focus on its core rail business. The company has been struggling with declining profitability in recent years and is looking to divest non-core assets.
DSV Would Gain Access to Schenker's Extensive Network and Customer Base
For DSV, the acquisition of Schenker would give it access to the company's extensive network and customer base. Schenker has a strong presence in the automotive, aerospace, and healthcare industries, which would complement DSV's existing customer base.
The Deal Is Expected to Face Regulatory Scrutiny
The deal is expected to face regulatory scrutiny, given the size of the two companies involved. The European Commission has already opened an investigation into the proposed merger of two other large logistics companies, Kuehne + Nagel International AG and Panalpina Welttransport Holding AG.
If Approved, the Deal Would Be One of the Biggest Logistics Transactions in Years
If approved, the acquisition of Schenker by DSV would be one of the biggest logistics transactions in years. It would create a global logistics giant with a combined revenue of more than €20 billion.
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