LONDON, UK: CEVA Logistics UK Rose Limited, a company controlled by CMA CGM has reached agreement on the terms of a recommended cash offer for the entire issued and to be issued share capital of Wincanton Plc. The acquisition is intended to be affected by means of a scheme of arrangement.

Under the terms, each Wincanton shareholder will be entitled to receive 450 pence in cash per share. The transaction values the entire issued and to be issued share capital of Wincanton at approximately £566.9 million on a fully diluted basis and values Wincanton at approximately £764.9 million on an enterprise value basis.

The acquisition implies an enterprise value multiple of approximately 6.8 times Wincanton’s underlying EBITDA and 11.7 times Wincanton’s underlying EBIT (in each case on an IFRS 16 basis) for the twelve-month period ended on 30 September 2023.

The intended acquisition of Wincanton Plc represents 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.

CEVA Logostics UK strongly believes that a combination between Wincanton and CEVA will further develop CEVA’s offering in contract logistics in the UK and Ireland, with Wincanton acting as its key development and growth platform in these countries.

Wincanton Plc is a leading supply chain partner for British business, and is a trusted partner to many of the UK’s most recognisable brands and influential public bodies.

Wincanton Plc is also at the forefront of logistics innovation in the UK and continues to develop its commercial strategy to significantly increase the value of its offering for customers.

James Wroath, Chief Executive Office of Wincanton, 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 eCommerce 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.”

Mathieu Friedberg, Chief Executive Officer of CEVA Logistics, said: “Wincanton’s commitment to their people drives their success in the UK contract logistics market. At CEVA, we accomplish our mission through the diverse, talented people we have working in the UK and around the world. The proven track record of both CEVA and Wincanton are largely thanks to our respective employees. In addition to the innovative logistics solutions that we could develop and offer together, we would be optimally positioned to answer even more supply chain challenges for our combined set of UK customers”.

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