UPS Announces Withdrawal of Offer for TNT Expressby Press Release on 2013-01-30
United Parcel Service, Inc. (NYSE: UPS) today announced the withdrawal of its Offer for TNT Express (NYSE Euronext: TNTE).
As anticipated, the European Commission (EC) has issued a formal decision prohibiting the proposed acquisition of TNT Express. As a result of the prohibition by the EC, the Offer Condition relating to EU Competition Clearance will not be fulfilled and the acquisition of TNT Express by UPS will not be completed. Given this outcome, UPS and TNT Express entered a separate agreement to terminate the Merger Protocol.
UPS proposed significant and tangible remedies designed to address the EC's concerns with the transaction concerning the competitive landscape in Europe. UPS believes that the combined company would have been transformative for the logistics industry, bringing meaningful benefits to consumers and customers around the world, while supporting much needed growth in Europe in particular.
While UPS is disappointed in the EC's decision, the company's focus is on the continued execution of its growth strategy.