European ferry and logistics operator in talks to acquire the international road haulage activities of its Turkish counterpart to build on the Danish group’s freight ferry route network in the Mediterranean Combination of ferry and logistics activities in the Mediterranean network ‘would mirror DFDS’ proven northern European business model’ By Will Waters European ferry and logistics operator DFDS has begun talks with Turkey’s Ekol Logistics about potentially acquiring the international road haulage activities of its Turkish counterpart, with the aim of building on the Danish group’s freight ferry network in the Mediterranean and to “mirror DFDS’ proven northern European business model”. DFDS has since 2018 operated a freight ferry route network in the Mediterranean facilitating trade between Turkey and multiple European markets via routes calling Italy, France, and Spain. The Copenhagen-headquartered company said that “in view of geopolitical developments and supply chain security and stability, we expect Turkey’s manufacturing capabilities and trade with Europe to continue to grow in the coming years. To further develop our ability to facilitate trade and to enhance customer offerings, a strategic dialogue between DFDS and Ekol Logistics, a major Turkish logistics company, has been initiated to explore a possible acquisition of Ekol Logistics’ international road haulage activities.” It said such a combination of ferry and logistics activities in the Mediterranean network “would mirror DFDS’ proven northern European business model”. DFDS said that to “ensure an efficient strategic dialogue for all stakeholders, a filing has been submitted to the Turkish competition authorities to obtain their view on a possible acquisition. In Turkey it is customary and possible to file for clearance before transaction terms and documents are finalised.” It said any possible transaction linked to the strategic dialogue with Ekol Logistics “awaits, among other things, the outcome of the filing with the Turkish competition authorities and Board approval of transaction terms”. DFDS’ Mediterranean business unit operates a network of freight ferry routes between Turkey and Europe, with the routes primarily transporting unaccompanied trailers for Turkish freight forwarders and hauliers. Rail services are also provided from the ports of Trieste and Sête to destinations in Europe. Ekol Logistics’ international activities are focused on providing transport and logistics solutions for freight between Turkey and Europe. This includes forwarding, haulage, warehousing, customs clearance, and supply chain management, plus also a number of freight ferry services between Turkey and southern Europe. Key customers include companies in the automotive and textile sectors. Ekol Logistics’ international activities’ revenue is around DKK 3.2bn. DFDS provides ferry and transport services in and around Europe, generating annual revenues of around DKK 25 billion (US$3.3 billion). This includes ferry and port terminal services and transport and logistics solutions to over 10,000 freight customers.