Jens Bjørn Andersen to be Panalpina CEO as DSV completes acquisition
August 19, 2019: Danish transport and logistics company DSV A/S (DSV) will settle the previously announced public exchange offer for all publicly held shares of Panalpina Welttransport (Holding) AG today in accordance with Swiss market practices.
August 19, 2019: Danish transport and logistics company DSV A/S (DSV) will settle the previously announced public exchange offer for all publicly held shares of Panalpina Welttransport (Holding) AG today in accordance with Swiss market practices. Panalpina will appoint Jens Bjørn Andersen and Jens H Lund as CEO and CFO, respectively, taking over from Stefan Karlen and Robert Erni, respectively.
As the settlement concludes, board changes in Panalpina will come into effect with Kurt Kokhauge Larsen as chairman and Andersen, Lund and Thomas Stig Plenborg as members of the Panalpina board. This will give DSV full control over Panalpina.
"We are very excited to welcome Panalpina’s customers, employees and shareholders to DSV. Our two companies will achieve more together, creating even more value for all our stakeholders. The settlement of the deal marks the beginning of the integration process, during which we will strive to provide the high level of service our customers know and rely on,” commented Andersen, CEO of DSV.
Supply chain solutions company Panalpina has approximately 14,500 employees in 70 countries. The acquisition by DSV will takes it to pro forma revenue of approximately Danish krone 118 billion and a workforce of 60,000 employees in 90 countries.
Pursuant to the Public Exchange Offer, Panalpina shareholders today receive 2.375 DSV shares (with a nominal value of DKK 1 per share) for each Panalpina share. Fractional DSV shares are settled in cash. After settlement, DSV intends to have Panalpina submit an application for the delisting of Panalpina shares and DSV will initiate a court procedure to cancel the remaining 1.56 percent Panalpina shares in accordance with article 137 FMIA. DSV further intends to have Panalpina file a customary request to be released from SIX Exchange Regulation's publicity requirements.
Excluding the impact from IFRS 16 the enterprise value of the transaction is approximately Swiss Franc 5.1 billion corresponding to Danish Krone 35.1 billion. Including IFRS 16 impact the enterprise value is approximately Swiss Franc 5.4 billion corresponding to Danish Krone 37.0 billion.
DSV expects to achieve annual cost synergies of around DKK 2,200 million. The cost synergies are expected to have full-year effect by 2022 and will primarily be derived from the consolidation of operations, logistics facilities, administration and IT infrastructure.
Due to the consolidation of Panalpina, the Q3 2019 announcement is postponed to November 1, 2019.
Update: PanalpCEO Stefan Karlen, CFO Robert Erni and CHRO Karsten Breum have resigned from their respective positions on August 19.