UPS Announces Formal TNT Express Bid
UPS announce formal TNT Express bid - shareholders given until August 31st to make make decision.
Amsterdam, 25 June 2012
American parcel company, UPS announced on Friday 22nd June 2012, that they had formally made a bid a bid for Amsterdam based TNT Express. The offer is in the region of €5 billion ($6.3 billion), and they have given TNT Express shareholders until the end of August to make their decision.
TNT Epxress will be holding an Extraordinary General Meeting on August 6th in order to discuss the offer with its shareholders. Both UPS and TNT Express released a joint statement recommending the current shareholders to accept the bid. PostNL, the majority shareholder of TNT Express, with a 29.8% stake in the compnay has agreed to tender its shares in order to let the merger go ahead. The offer was originally announced in March, but this formal bid means the likelihood of it occuring is seeming more and more likely.
The merger, should it take place, will mean UPS can increase their foothold in the European market, and TNT Express customers can benefit from UPS' huge stake in the North American market. The sale would see annual revenues increase to €45 billion ($60 billion) for the merged companies.
For more information, please visit the UPS Website