AP Moller – Maersk sells Norfolkline Group to DFDS

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AP Moller – Maersk has sold Norfolkline to DFDS Group in a deal worth some 346 million euros. As part of the deal it will take a substantial shareholding in DFDS.

“Norfolkline’s route network covers the North Sea, the English Channel and the Irish Sea, combined with a considerable logistics operation.

Chief executive of DFDS, Niels Smedegaard, said: “This means, that DFDS’ network in the Baltic Sea and the North Sea is expanded to include two new markets, the Channel and The Irish Sea. We both serve passengers and freight customers and can now provide transport solutions spanning the whole of Northern Europe – from Russia to Ireland.”

The combined company will have around 6,200 employees and a total fleet of 75 vessels, 52 per cent of which will be owned vessels.

The estimated 2009 pro forma financials of the DFDS Group and the Norfolkline Group show EBITDA of approximately 139 million euros.
As part of the deal, AP Moller – Maersk will receive treasury shares accounting for 0.6 per cent of the share capital of DFDS and will subscribe to a directed issue of shares of 28.2 per cent of the share capital of DFDS, equivalent to 172 million euros.

Søren Skou, partner and member of the executive board of A P Moller – Maersk, said: “We are looking forward to becoming a major shareholder in DFDS and are convinced that the new company will create value for its owners.”

Separately, Norfolkline Group has sold the vessels Maersk Vlaardingen and Maersk Voyager to a different party, effective prior to completion of the transaction.
The sale of Norfolk Holdings is expected to be completed in the second quarter of 2010 and is not expected to have a significant impact on the result of AP Moller – Maersk. DFDS will become an associated company to AP Moller – Maersk.

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