Sweden’s Competition Authority yesterday approved PostNord’s acquisition of Green Cargo Logistics,Sweden’s second-largest third-party logistics provider.
The approval follows the announcement in March of an agreement between PostNord and GreenCargo, Sweden’s state-owned rail freight operator, for PostNord’s acquisition of Green Cargo’ssubsidiary, Green Cargo Logistics, and its buildings and property. Having received CompetitionAuthority approval, the parties intend to finalise the sale by 30 May, as planned.
PostNord said the acquisition was “fully in line with the group’s strategic focus”, andstrengthened the Nordic postal group’s third-party logistics operations, a market that it said “isexperiencing significant growth”. PostNord’s current corporate strategy, adopted in late 2011,includes continued growth within logistics. Its logistics operations in Sweden, Denmark, Norway,and Finland are weighted towards packages, pallets, and express delivery and had net sales ofaround SEK 13 billion (€1.43 billion) in 2011.
Green Cargo Logistics has a total storage space of 260,000 sqm in modern premises inStockholm, Norrköping, Gothenburg, Helsingborg and Copenhagen, and in 2011 had net sales of aroundSEK 1 billion and an operating profit of SEK 61 million, following a strong and profitableexpansion in recent years. Its focus has been primarily on customers within the following sectors:fast-moving consumer goods; electronics; sports & leisure; tyres; fashion; books & media;alcoholic beverages; building supplies & home improvements.
Lars Idermark, President and CEO of PostNord, said Green Cargo Logistics was a “well managedand profitable business and an excellent fit with PostNord’s strategic ambitions” within thelogistics area that “will constitute a solid foundation for our continued development withinthird-party logistics”.
Green Cargo Logistics will become part of PostNord’s Logistics business area, whose headHenrik Höjsgaard will serve as Chairman of the Board of the acquired company, which will be renamedat a later date.
PostNord was formed in 2009 through the merger of the Danish and Swedish national postaloperators, Post Danmark and Posten, respectively. The group provides communication and logisticssolutions to, from and within the Nordic region, with annual sales of approximately SEK 40 billionand over 40,000 employees.
