African markets

MSC to acquire Bolloré Africa’s logistics business for $6.4 million

The global shipping company Mediterranean Shipping Company (MSC) is preparing to acquire Bolloré Africa Logistics (BRVM: SDSC) business unit for $6.4 billion.

“The Bolloré Group has granted MSC Group exclusivity until March 31, 2022 to allow MSC, after an additional phase of due diligence and contract negotiations, to submit a put option,” said MSC Group, a company Italian-Swiss container shipping.

A put option contract gives the owner the right, but not the obligation, to sell a certain amount of the underlying asset, at a set price within a specific time frame.

“The Bolloré Group’s decision to exercise this put option and the signing of the related agreements can only be made after informing and consulting the competent staff representative bodies and certain internal reorganization operations within the Bolloré Group”, specifies the company. in a report.

Waiting for approvals

The completion of the sale will require the approval of the regulatory and competition authorities, as well as certain counterparties of Bolloré Africa Logistics.

The announcement ends speculation over whether Bolloré was planning to exit the African market by selling its assets.

Bolloré’s activity is centered on maritime transport: the company is present in 42 ports, and operates in 16 container terminal concessions, seven ferry terminals, two timber terminals, a river terminal, and a conventional stevedoring activity. .

The Group has a network of 85 maritime agencies in 74 African agencies in 32 countries and in logistics, the company is present in 47 countries and manages for its customers all the administrative and customs procedures before and after transport, import such as for export, as well as the movement of goods to their final destination.

MSC’s bid to acquire Bolloré Group Africa’s investments will increase competition to maintain its position as a global shipping company. It has been recognized as the world’s largest container ship company by capacity, ahead of Maersk Company, which has held the top spot for decades.

Highly rated

Data analysts and consultancy Alphaliner have updated their Top 100 ranking, putting MSC ahead of Maersk by 1,888 twenty-foot equivalent units (TEUs), a small fraction of its total capacity of nearly 4.3 million ‘EVP.

MSC is present in 155 countries and facilitates international trade between the world’s major economies and between emerging markets on all continents.

Founded in 1970 and based in Geneva, Switzerland, since 1978, MSC is a private organization run by the Aponte family and does not advertise every transaction, leaving industry analysts to link the company to build orders, charters and used tonnage.

A world leader in container shipping, MSC has grown from a one-ship operation to a globally respected company with a fleet of 600 vessels and over 100,000 employees.

MSC calls at 500 ports on more than 230 trade routes, transporting some 23 million TEUs per year, via a modern fleet, equipped with the latest green technologies.