(MENAFN- Emirates News Agency (WAM))
MADRID, 3rd October, 2023 (WAM) -- AD Ports Group has announced that Noatum, which now leads its Logistics Cluster operations, has signed the agreement for the acquisition of the 100% equity ownership of Sesé Auto Logistics, the Finished Vehicles Logistics (FVL) business of Grupo Logístico Sesé, for a total purchase consideration (Enterprise Value - EV) of EUR81 million.
The transaction is expected to be completed by Q1 2024, subject to regulatory approvals.
The acquisition implies a trailing EV/EBITDA of around 3.5x based on the company's Last Twelve Months (LTM) performance to August 2023 - revenue of around EUR100 million, with EBITDA margin of 22.5%.
Going forward, Noatum expects a normalisation of the European automotive logistics market, which has been factored in the transaction business case.
Sesé Auto Logistics is engaged in road and rail transport logistics of light and heavy vehicles, operating from five main European countries, namely Spain, Germany, Poland, Czech Republic, and Hungary, with a fleet of over 200 trucks covering over 30 million kilometres annually across Europe.
The company serves leading OEMs, including Renault, Stellantis, Mazda, Daimler, BMW, PSA and MAN, among others. The company is also renowned for applying the best technology and resources to maximise efficiency and minimise the environmental impact of its routes and operations. It incorporates a management system that provides real-time visibility and is integrated with clients' and suppliers' systems for automatically sharing information.
The acquisition of Sesé Auto Logistics is part of Noatum's strategy to offer a comprehensive and vertical solution for the automotive industry under the Noatum Automotive brand, covering the entire logistics value chain, from transport to distribution and final delivery of vehicles to customers.
This transaction will also generate significant synergies with Noatum's port terminals business in Spain, offering an integrated logistics solution that will reinforce Noatum Automotive's services for Original Equipment Manufacturers (OEMs) and other stakeholders. Noatum Automotive maintains its strategy of neutrality towards all its stakeholders.
Noatum's vision is to become a leading European supplier of logistics services to the finished vehicle sector. The FVL market in Europe is estimated at EUR3 billion, with a projected annual growth of 6% in the medium term. Noatum aims to capitalise on this opportunity by expanding its network and capabilities across Europe following the acquisition of Sesé Auto Logistics.
Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO of AD Ports Group, said, "Noatum's acquisition of Sesé Auto Logistics, which brings to us significant capabilities, expertise and logistics networks, will help deliver on our vision as it will allow us to further expand within Europe's growing and profitable automotive sector, and pave the way for us to become a leading global provider in the FVL industry."
Antonio Campoy, CEO of Noatum, Logistics Cluster, AD Ports Group, said, "This is the first milestone acquisition for Noatum as the leader of AD Ports Group's Logistics Cluster. Our goal is to enhance Noatum Automotive's industry solutions to strengthen our products range throughout the logistics supply chain and to become one of the main global players in the automotive sector."
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