FedEx Corporation's EUR4.4 billion (USD4.8 billion) bid to acquire TNT Express N.V. outright took another step closer to finalization after the Dutch logistics firm's shareholders voted in favour of the offer.
During the Extraordinary General Meeting (EGM) on October 5, shareholders discussed and voted to accept the recommended public offer by FedEx Acquisition B.V., an indirect wholly-owned subsidiary of FedEx Corporation, for all issued and outstanding ordinary shares including ordinary shares represented by American depositary shares of TNT Express.
Sjoerd Vollebregt, the only member of the Boards who holds TNT Express shares, and the Dutch postal service PostNL N.V., which holds a 14.7% stake in TNT, have already assented to the deal and will tender their shares as and when a final offer is made.
The deadline for acceptance of the offer is October 30, 2015 with the minimum acceptance condition of the offer now set at 80% (and not 95%) of TNT’s aggregate issued and outstanding ordinary share capital.
“We appreciate that the shareholders of TNT Express approved the resolutions of TNT Express’ Extraordinary General Meeting,” said David Binks, Regional President Europe, FedEx Express. “We believe the combination of these two great companies will provide significant value to the employees, customers and shareowners of both TNT Express and FedEx, and we continue to work constructively with the regulatory authorities around the world to obtain clearance of the acquisition.”
The European Commission is currently scrutinizing the planned takeover bid with a decision due by December 7, 2015. TNT and FedEx are expected to make a number of concessions to help secure EC approval after the body announced it had concerns the newly merged entity would face insufficient competitive constraints in several European markets where they would compete with their only two remaining rivals - UPS and DHL.
