APM Terminals has entered into an agreement to divest Pentalver, the UK-based provider of container transport and other container related services, to Genesee & Wyoming (G&W).
G&W is the parent company of Freightliner, a transporter and inland rail terminal operator for the movement of deep sea maritime containers in the UK.
The purchase price is £87m, subject to final working capital and other closing adjustments. The transaction is subject to customary closing conditions, including competition clearances and the finalization of certain lease agreements, which are expected in the first quarter of 2017.
Joe Nicklaus Nielsen, APM Terminals Vice President and Head of Port Investments said, “This divestment is in line with APM Terminals’ strategy to develop and optimize our portfolio of businesses. Pentalver is a successful business, and we are pleased to have found a new strong owner in Genesee & Wyoming. Together with existing management and the around 600 dedicated employees of Pentalver, Genesee & Wyoming is an excellent new owner that will provide the right platform for customers going forward.”
Jack Hellmann, President and Chief Executive Officer of G&W, commented, “The acquisition of Pentalver is an excellent strategic fit with our existing intermodal offering in the UK. With the advent of larger container ships and the growth of distribution centres in the Midlands and throughout the UK, our maritime intermodal customers are seeking greater service optionality, which includes not only rail and road transportation but also the ability to store, maintain and position containers.”
Pentalver has been part of the A.P. Moller-Maersk Group since acquired in 1995.
Source: APM Terminals
