DSV Said In Advanced Talks to Buy €14 Billion Deutsche Bahn Unit

Logistics giant DSV is in advanced talks to buy Deutsche Bahn's logistics unit Schenker, in a deal that could be worth up to €14 Billion.

The deal would create a global logistics powerhouse with combined revenue of over €30 Billion. DSV is a Danish company with a strong presence in Europe and Asia, while Schenker is one of the world's leading logistics providers with a strong presence in the Americas.

The deal is expected to close in the second half of 2023, subject to regulatory approval. If approved, it would be the largest acquisition in DSV's history.

DSV's interest in Schenker underscores the growing importance of logistics in the global economy. The COVID-19 pandemic has highlighted the need for efficient and reliable supply chains, and companies are increasingly looking to outsource their logistics operations to third-party providers.

The combined company would have a workforce of over 70,000 employees and a presence in over 90 countries. It would be one of the world's leading providers of air, sea, road, and rail freight services, as well as contract logistics and supply chain management.

The deal is also a sign of the consolidation taking place in the logistics industry. In recent years, there have been a number of mergers and acquisitions as companies look to scale up and gain market share.

The acquisition of Schenker would give DSV a significant boost in the Americas, where it currently has a relatively small presence. Schenker is one of the leading logistics providers in the region, with a strong presence in the United States, Latin America, and Canada.

The deal is expected to be well received by investors. DSV's shares have risen by over 20% since the news of the talks was announced.

The acquisition of Schenker would be a major step forward for DSV and would create a global logistics powerhouse.