Denmark’s DSV, opens new tab said on Friday it had raised $5.5 billion in a share issue to partially finance its acquisition of Schenker, a deal that would make it the world’s biggest logistics company.
Last month, DSV agreed to buy Schenker, the logistics arm of German state rail operator Deutsche Bahn, for 14.3 billion euros ($15.76 billion).
New shares were sold at 1,410.5 Danish crowns each, in line with Thursday’s stock market close, raising 37.3 billion crowns ($5.52 billion), equivalent to 12.3% of its market value of some 300 billion crowns, DSV said in a statement.
DSV had previously said the deal to buy Schenker would be financed through a combination of an equity raising of up to 5 billion euros and debt financing.
Deutsche Bahn’s supervisory board on Wednesday approved the sale of Schenker to DSV, fending off union opposition and pushback from rival bidder CVC (CVC.AS), opens new tab.
Deutsche Bahn put up Schenker for sale last year to concentrate on its core railway business in Germany and reduce its debt
BNP Paribas, Danske Bank, HSBC, JP Morgan and Nordea were joint global coordinators and joint bookrunners in the share issue, DSV said.
DSV on Thursday published preliminary third-quarter operating profit of 4.4 billion crowns and narrowed its 2024 operating profit outlook to an interval of 16 billion-17 billion crowns from 15.5 billion-17 billion crowns previously.
The results and outlook were broadly in line with market consensus, Bernstein analysts said in a research note.
DSV is scheduled to publish its full third-quarter earnings report on Oct. 23.
