DSV, the Danish transport group, is interested in TNT Freight Management, the Nordic-based air andsea freight forwarding division that TNT plans to sell off, but admits it may be outbid by private
equity firms.TNT announced on October 30 that it would dispose of TNT Freight Management, with annualrevenues of some €800 million, in order to focus on its network-based express and mail businesses.The Dutch group bought the Swedish company, then known as Wilson Logistics, for €257 million in2004. For its part, DSV, with annual turnover of some €4.4 billion from its European road andinternational air and sea freight transport services, has expanded in recent years with theacquisition of Dutch forwarder Frans Maas and various smaller transactions.
DSV chief executive Kurt Larsen told the Danish news service “Direkt-DK” that the air and seafreight volumes of TNT Freight and the resulting synergies with DSV’s growing air and sea freightactivities would be positive for the company.
But he repeatedly stressed that an acquisition of TNT Freight would only make sense at theright price. “If the price is set by private equity firms, then it will be difficult for us normalfirms to keep up,” he commented. But he added: “If the price is civilised and reasonable, then weare definitely interested.”
Larsen said that in contrast to private equity firms, DSV would be able to achieve clearsynergies from an acquisition of TNT Freight. DSV is currently integrating the Dutch freightforwarder Frans Maas which it acquired last year, and has so far achieved synergies worth DKK 450million. “It’s going well with Frans Maas and I would trust us with an integration of TNT Freight,as well,” he added.
TNT chief executive Peter Bakker said on October 30 that there was already strong initialinterest from potential buyers of TNT Freight, but declined to say whether TNT expected to make aprofit on the book value of the company, and when a sale might be concluded.
Observers believe that other potential buyers of TNT Freight could include Nordic postalcompanies aiming to grow their logistics businesses, or leading multinational freight transportgroups interested in strengthening their presence in the Nordic region.
