DSV Buys Frans Maas, Creating $5 Billion Firm

DSV Buys Frans Maas, Creating $5 Billion Firm

Copyright 2006, Traffic World, Inc.

While some European logistics players are looking to get more global, some key transportation operators are spreading their reach across Europe.

Management and a majority of shareholders at Netherlands-based logistics provider Frans Maas approved a $277 million bid from DSV, a Dutch transportation company.

The deal is a direct response to accelerating industry consolidation, especially in Europe, the companies said. Within the past year alone, Deutsche Post snapped up Exel, Deutsche Bahn bought BAX Global and Kuehne + Nagel took over ACR Logistics, to name only the most recent and largest.

At the same time, TNT chummed the waters with the announcement that it''s putting more than $4 billion of contract logistics up for sale as the Netherlands-based provider leaves the business.

Together DSV and Frans Maas will have nearly $5 billion a year in revenue, putting it on a par with Panalpina and UPS Supply Chain Solutions, both of which posted about $5.3 billion in 2004 revenue.

"The offer represents a unique opportunity for DSV to fulfill our strategy of becoming a truly pan-European road company while at the same time broadening our European scope and competencies within logistics services," said DSV CEO Kurt Larsen.