Deutsche Bahn has signed an agreement to sell its logistics subsidiary DB Schenker to Danish freight forwarder DSV for approximately $16 million (14.8 billion EUR), the companies said today.
The acquisition will allow Deutsche Bahn to focus on its core rail business and reduce debt, while DSV will expand its global presence in transport and logistics—especially in Germany where the freight forwarder says it will invest more than $1 billion (approximately 1 billion EUR) over the next three to five years, according to a statement announcing the deal.
The agreement is subject to final approval by Deutsche Bahn’s supervisory board and the German Federal Government and is expected to be complete in 2025.
“The sale of DB Schenker to DSV marks the largest transaction in DB's history and provides our logistics subsidiary with clear growth prospects,” Richard Lutz, CEO of Deutsche Bahn AG, said in a statement Friday. “In line with our Strong Rail strategy, we are focusing our business on rail infrastructure in Germany that serves the common good as well as on climate-friendly passenger and freight transport in Germany and Europe. At the same time, reducing debt will make a substantial contribution to the Group's financial sustainability. The focus over the next three years will be on the structural restructuring of infrastructure, rail operations and profitability. This will create a stable basis for the continued growth path of Strong Rail and our contribution to the transport and climate policy goals of the federal government.”
Jens H. Lund, Group CEO for DSV added: “We have a clear plan for how we want to become one of the world's leading transport and logistics company together. Hand in hand and under one roof, the employees of DSV and Schenker will combine our strengths to create a true global leader in the industry. This strategic combination with significant investments in competitiveness will ensure long-term growth and create sustainable jobs in Germany.”
