Wincanton plc has acquired the French company Premium Logistics (“Premium”) for an initial price of 24 million euros, excluding liabilities. Thanks to this new investment, the company has gained a strong foundation for serving customers both in France and abroad.
Depending on Premium’s financial performance for the year ending December 31, 2005, Wincanton may be required to make a further payment of up to 6 million euros. As part of the transaction, the company is also acquiring assets for an additional amount of 7.5 million euros.
Combining the advantages of the strategic location of sites in France with Wincanton’s experience will contribute to strengthening and expanding the company’s offering across Europe. The new acquisition allows Wincanton to achieve nationwide coverage of the very important French market, as well as increase the number of contracts and management resources. The pro forma annual turnover of the enlarged company, which will operate from 29 centers throughout France, is expected to be approximately 150 million euros.
Premium’s contract base includes multinational FMCG companies, food and “home and garden” retailers, as well as manufacturers from the automotive, chemical, and lubricants industries. Premium’s service offering focuses mainly on warehouse management. The company does not own its own fleet of vehicles, but it also provides transport services for its clients.