Parcel services circle Belgian rival
Leading European parcels delivery groups were on Friday, Aug. 4, circling ABX Belgium, the domestic parcels service that the Belgian national railway company Société Nationale des Chemins de Fer Belges, or SNCB Holding, must sell by the end of the year.
An SNCB spokesman declined to comment on reports that several players — General Logistics Systems BV, or GLS, the Oude Meer, Netherlands-based European parcels arm of Britain’s Royal Mail Group plc; Dutch logistics, deliveries and postal services group TNT Holding BV; and the Belgian postal service De Post/La Poste — might drive in an offer.
The Belgian national railway must divest ABX Belgium by year’s end, and it appears the business is not wanting for suitors.
However, the SNCB spokesman did confirm that “different parties” were interested in the business.
One banking source, who declined to be identified, said the three groups would be at the top of his list of likely buyers, though he thought France’s GeoPost SA, the parcels service of the French post office, should not be ruled out as a possible bidder. He also said United Parcel Service of America Inc., which last year bought U.K. parcel delivery group Lynx Express Ltd. and had signaled plans to grow further in the sector, could also be a player.
The parcels business, which the banker said could fetch around euro 70 million, roughly equivalent to annual revenue, has been carved out of ABX Logistics Worldwide SA/NV, the international freight-forwarding business that SNCB sold to 3i Group plc and Fortis Banque SA/NV on Aug 3
ING Group NV was to conduct an auction. SNCB’s legal adviser is Linklaters. 3i was advised by Nicolas Thum of Europa Partners Ltd. and Wilten Smit of Deloitte Corporate Finance. 3i’s counsel is Meeus and Pascal Weerts of Allen & Overy LLP.
