Owing to information in the news media concerning
interest in acquisition of the DFDS Group’s transport
activities, the board of directors and the executive board
of the DFDS Group have found it advisable to issue this
announcement.
Today, the DFDS Group is active in two main business
areas primarily: shipping operation and international
transport and logistics. The shipping activities are
organized in DFDS Seaways, which operates overnight
passenger shipping between large cities in Northern Europe,
and DFDS Tor Line, which is a leading operator of ro/ro
liner service, also in Northern Europe.
In addition to the Group’s shipping activities, over a
period of years DFDS has developed a large, international
transport operation - DFDS Dan Transport Group - which
today has an annual turnover of approximately DKK 15
billion and 9,000 employees in 250 locations worldwide. The
company is one of the ten largest transport companies in
Europe, with a particular strong position on the Northern
European market.
In both main business areas the market is undergoing
consolidation, with fewer and larger companies. This
tendency, which is prompted by intensified competition and
cost advantages for the largest players on the market,
necessitates considerable investments in acquisition of
companies and new operating equipment – including
investments in IT infrastructure. This is a development
that requires a sharp business focus and financial strength
of the companies that wish to lead this development.
The board of directors and the executive board of DFDS
are therefore exploring various possibilities for ensuring
that both the Group’s transport activities and its shipping
activities can be operated with optimal exploitation of
economies-of-scale and managerial focus on the two business
areas. These discussions with potential cooperation
partners and other companies in the international transport
industry, can lead to solutions that involve an altered
ownership structure for DFDS Dan Transport or disposal of
this activity. The discussions have been held with
representatives of the postal services in Denmark, Sweden,
and Norway, among others.
It is the opinion of the board of directors that DFDS’
present market value on the Copenhagen Stock Exchange does
not reflect the values in the Group’s future development
potential. A solution that includes an independent future
for the shipping activities and DFDS Dan Transport’s
participation in a larger international company
constellation is judged to create considerable additional
value for the Group’s shareholders.
Taking into consideration the day-to-day operation of
the Group’s shipping and transport activities the board of
directors will strive to come to a final resolution of the
Group’s strategic situation as quickly as possible. At the
present time it is not possible to explain in further
detail the contents of the approaches to the board of
directors. Further information will be published when a
solution has been found.
Due to the uncertainty caused by the examinations in
progress in relation to trade with DFDS’ shares, the
executive board has approached the Copenhagen Stock
Exchange with a request to transfer the Group’s share to
the Stock Exchange’s observation list.
Yours sincerely,
DFDS A/S
Jan
Erlund
Chairman of the Board
Thorleif Blok
President & CEO