TNT Express to Sell Airline Operations to Secure UPS Deal - Bloomberg
TNT Express NV (TNTE) agreed to sell its airline operations to ASL Aviation Group Ltd. in an effort to safeguard a deal to combine with United Parcel Service Inc. (UPS)
The transaction is conditional on the completion of UPS’s proposed 5.16 billion-euro ($6.58 billion) purchase of TNT, the Hoofddorp, Netherlands-based the package-delivery company said today in a statement. Financial terms were not disclosed.
UPS’s merger agreement requires it to make “best efforts” to secure regulatory clearance and offer “reasonably satisfactory” concessions. It will pay a breakup fee to TNT of 200 million euros if it pulls out.
