Study: Takeovers in transport and logistics industry collapsed
According to a study, mergers and acquisitions in the transport and logistics industry have collapsed worldwide in the past year. Activities have declined by 19 percent compared to the previous year.
Published: 4 minutes ago
According to a study, mergers and acquisitions in the transport and logistics industry have collapsed worldwide in the past year. Activities have declined by 19 percent compared to the previous year. (icon picture)
This is what the “Transport & Logistics Barometer” of the auditing and consulting company PwC Germany says, which is available to the German Press Agency. The reason is the war in Ukraine, high energy prices and the effects of the Chinese corona policy.
A total of 261 mergers and acquisitions, each with a value of more than 50 million euros, were announced last year – 62 fewer than in 2021. Accordingly, the total volume of transactions fell from the equivalent of 197.8 billion to 167.5 billion euros. The number of particularly large deals worth more than $1 billion fell from 47 in 2021 to 32 last year.
“We assume that transport and logistics companies will continue to conduct mergers and acquisitions in 2023 to diversify risks, make their supply chains more resilient and expand their own portfolios,” explained Ingo Bauer, Head of Transport, Logistics and Tourism PwC Germany. In particular, destinations from the critical infrastructure such as ports and terminals, but also warehouses should become more attractive.
The largest decline was on the American continent in 2022, but Chinese participation in takeovers and mergers also decreased. According to PwC, a few years ago Chinese companies were still involved in every fourth deal on average. Now the value is less than 20 percent.
According to the information, companies from the logistics and truck transport sector (44 percent) were particularly popular as takeover or merger candidates last year. This was followed by destinations such as ports or roads with almost 25 percent, with strategic investors showing interest there in particular, while financial investors are noticeably withdrawing due to rising interest rates.