DSV to pay 4.6 billion Swiss francs for Panalpina

Monday, 01. April 2019 08:26

V A/S said on Monday that it would give 2.375 shares per one share in Panalpina Welttransport Holding AG or 195.8 Swiss francs apiece. The combination aimed to be executed by tender is worth 4.6 billion francs, equivalent to €4.1 billion or 30.5 billion Danish kroner. The premium for the Swiss freight giant is 43% against the closing price from January 15, just before the initial bid, the statement said.

The merged transportation and logistics company, planned to be called DSV Panalpina A/S, would have pro forma revenue of 118 billion kroner and over 60,000 workers, it added. The payout ratio to DSV's shareholders of is targeted at 15% of profit. It revealed the process should start on May 29. The acceptance by all shareholders implies the issuance of 56 million DSV shares or 23% more. The threshold is 80% and the companies aim to complete the merger in the fourth quarter of the year.

DSV expressed expectations the deal would boost revenue by half and that the number of markets where it operates would surpass 90. The transaction is seen accretive to earnings two years later, it said.

Related Links: Panalpina Welttransport (Holding) AGDSV Panalpina A/S
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