UPS extends offer period for TNT takeover
UPS will extend the offer period for its €5.16 billion acquisition of Dutch delivery company TNT Express from August 31 until November 9. Despite this setback, the deal is still expected to close in the fourth quarter of 2012, the integrators announced in a joint press release.
UPS and TNT Express explained that the European Commission is unable to meet its original December 12 deadline for the antitrust probe it launched in July, thus delaying the offer period. Separate reports indicate that the EC temporarily halted its Phase 11 review of the merger last week in order to obtain additional information from the companies.
Either way, the merger is moving forward, according to UPS and TNT Express. In an official statement, the former rivals reiterated their “commitment” to working together and amalgamating their networks.
“Under the terms of the [offer], UPS will acquire TNT Express to create a service leader in the logistics industry and an enhanced, integrated global network,” UPS and TNT Express said in a joint statement. “The complementary strengths of both organizations will create a customer-focused global platform that will be a leader in transportation technology and customer service.”
The integrators added that the merger will not only bolster trade links in the U.S. and Europe, but will also strengthen Asian and Latin American networks. Such improvements will “help to stimulate much-needed economic growth,” UPS and TNT Express said in a statement.