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A new survey of European logistics mergers and aquisitions in the year just ended appears to show that globalisation is ‘off the corporate agenda’, writes Roger Hailey.

That is the conclusion of British firm Transport Intelligence, whose regional review indicates that the number of important deals undertaken by the largest European logistics companies last year leapt by 23% over 2002, from 42 to 52.

The report suggests: ‘An appetite for acquisitive growth has once again returned to the industry.’

But last year’s apparent takeover boom is still only 60% of the peak reached in the dizzy heights of 2000.

In the European market, Germany saw the greatest number of deals completed.

John Manners-Bell, author of the report, said: ‘Not only has a certain amount of confidence returned to the German industry, but the market is well placed to act as a springboard for east European expansion.

‘At the periphery of Europe, fast growing Turkey was one of the most popular countries with Deutsche Post, Exel, GeoPost and Tibbett ‘ Britten entering the market through joint ventures.’

Deutsche Post again led the pack for the number of deals and the size of its cheques, with the estimated $1.05bn paid for Airborne Express in the US the largest single deal of the year. But the German empire-builder still found time and money for its acquisition of the remaining shares in Securicor Omega (Britain), Loomis (Canada), Ascoli (Italy) and part of Sinotrans (China) as well as purchases in several other regions. In comparison, the British global logisticscompany Exel spent around GBP100m ($167m).

A further key trend identified by the survey was the diminishing number of acquisitions outside Europe from their peak in 2001, even though acquisitions in Europe have bounced back.

Mr Manners-Bell added: ‘It seems that many of the largest European express and logistics companies, with the obvious exception of Deutsche Post, have decided that for the time being globalisation is off the agenda.

‘In 2003 acquisitions outside Europe were mainly in niche sectors or geographies.

‘Instead, most companies have focused on improving their coverage within Europe, where there are still many gaps within their portfolios.’