UPS Abandons TNT Express as EU Moves to Reject Takeover

Discussion in 'The Latest UPS Headlines' started by cheryl, Jan 14, 2013.

  1. cheryl

    cheryl I started this. Staff Member

    UPS Abandons TNT Express as EU Moves to Reject Takeover - Bloomberg

    UPS Chief Executive Officer Scott Davis said he was “extremely disappointed” by the failure of a deal that would have been the biggest in his company’s history, giving it a European market share similar to Deutsche Post AG (DPW)’s DHL, the region’s top express operator.

    While UPS had revised proposed concessions twice to include the sale of assets and the offering of air-network access to rivals, the European Commission has been seeking to create a player of a similar size to TNT to fill the void it would leave, Almunia told reporters last week.

    The deal will be formally terminated once the “inevitable” prohibition ruling has been received, TNT said. The Dutch company added that it “regrets this situation, having believed the merger was feasible and beneficial for all stakeholders.”
     
  2. alexw08

    alexw08 Guest

    200 million down the toilet because ups upper management didn't do enough research in the tnt acquisition. As a stockholder i am appalled. Get your act together ups. You better raise the dividend because there are alot of angry stockholders out there.
     
  3. bbsam

    bbsam Moderator Staff Member

    I wondered why Fedex was lukewarm to making a bid for TNT. Now I understand.
     
  4. feeder05

    feeder05 Active Member

    maybe UPS should concentrate on what it does best...deliver packages.
     
  5. packageguy

    packageguy Well-Known Member

    This does not surprise, I been following it from the beginning, I thought it would be good for us at UPS.
     
  6. alexw08

    alexw08 Guest

    Who is being held accountable for this debacle? Heads should roll in Atlanta.i
     
  7. petras52

    petras52 New Member

    I'm hoping the $2oo mil. euro cost eventually proves to be a comparatively cheap way out...the whole tnt acquisition plan seemed way overpriced given the soft European economy..still does not excuse ups for agreeing to this ridiculous exit fee...hopefully the executives will come up with a reasonable explanation..