CMA CGM, through its subsidiary freight forwarder CEVA Logistics UK Rose, is finalising the acquisition of Wincanton at a valuation of 450 pence-per-share, representing a 52 percent premium over Wincanton’s closing price of 297 pence on Thursday. The deal values Wincanton’s equity at £566.9 million ($718.77 million) on a fully diluted basis, with an enterprise value of £765 million, inclusive of debt.
Wincanton, boasting operations across 170 sites in the UK and Ireland, will be recommended unanimously by its board to accept the CMA CGM bid, resulting in Wincanton’s exit from the stock market. For cash-rich CMA CGM, this strategic move opens avenues in the UK supermarket sector, aligning with its recent acquisitions, including the $5.5 billion deal for Bollore’s logistics unit.
CMA CGM, the world’s third-largest container shipping company, anticipates leveraging Wincanton’s expertise to expand its market in the UK, particularly in grocery and consumer goods. The acquisition positions CEVA Logistics for substantial growth, utilizing Wincanton as a development platform to diversify its customer base and strengthen its contract logistics business in the UK and Ireland.
