• Swindon & Wiltshire M&A, deals
• Friday January 19 2024
• Author Name: Peter Davison

Logistics firm Wincanton to be acquired by French group

Chippenham-headquartered supply chain partner Wincanton looks set to be acquired by French group CEVA Logistics in a deal that values the company at just under £765 million.

CEVA already has a foothold in the UK with a logistics business with revenues of US$500 million and says the takeover would represent “an attractive growth opportunity that is in line with CEVA’s expansion strategy.

“It is a unique opportunity to expand CEVA’s offering in the UK, and to acquire complementary grocery and consumer expertise.”

Wincanton’s directors have unanimously recommended that shareholders vote in favour of the takeover.

Sir Martin Read CBE, chairman of Wincanton, said: “This offer for Wincanton from CMA CGM is testament to the strength of the business we have built, our strategy, our strong customer relationships and our excellent people.

“CMA CGM is a highly experienced operator in the industry, and as Wincanton becomes part of this larger business, it will be able to capitalise on the significant growth opportunities ahead.

“In unanimously recommending this offer to shareholders, the directors believe it is in the interests of all the company’s stakeholders.

“While we remain confident in the long-term prospects of Wincanton and the wider sector, we recognise that the strong performance of the company has not been reflected in the performance of its shares in recent years.

“We therefore believe this offer represents the best opportunity for shareholders to realise the value of their investment with greater certainty.”

Wincanton CEO James Wroath said: “I am incredibly proud of the progress we have made at Wincanton over the last four years, thanks to our great people and customers.

“We have strengthened our business and ensured that we are at the forefront of logistics innovation. Our work in automation and technology has been industry-leading and has allowed us to take advantage of trends towards outsourcing and e-commerce while continuing to improve service for our long-term customers.

“This offer will enable Wincanton to continue and accelerate the progress that has been made, providing an excellent partner with the balance sheet strength that will allow the pursuit of both existing and new growth opportunities.

“CMA CGM’s strong track record of investing in its people and its commitment to its customers means that we are confident this offer will deliver benefits for all of our stakeholders.”

Wincanton works across a range of sectors including food and consumer goods; retail and manufacturing; e-commerce; the public sector; major infrastructure; building materials; fuel; and defence.

The 100-year-old firm has 20,300 employees and operates approximately 8,500 vehicles across more than 170 sites in the UK.