Wincanton to be taken private by Ceva Logistics in £566.9m deal

Logistics company Wincanton said on Friday that it has agreed to be taken private by Ceva Logistics, a subsidiary of French shipping firm CMA CGM, in a £566.9m deal.

Under the terms of the acquisition, Wincanton shareholders will receive 450p per share in cash. This is a premium of around 52% to the closing share price on Thursday.

Wincanton chairman Martin Read 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."

At 1000 GMT, the shares were up 47% at 437.51p.

Russ Mould, investment director at AJ Bell, said: "A successful bid would end Wincanton’s 23 years on the UK stock market, during which it has battled difficult periods plagued by high levels of debt and several profit warnings but still managed to come out the other end intact."