DFDS acquires Ekol Logistics for EUR 260M

DFDS has entered into agreement to acquire the international transport network of Ekol Logistics which transports goods between Türkiye and Europe through its own offices and facilities in 10 European countries.

With this acquisition, DFDS adds road transport to its Mediterranean ferry network, thus extending its proven North European multimodal business model based on door-to-door solutions, as well as further expanding its logistics network in Europe.

The S&P agreement is expected to be finalised in Q4 2024, pending EU merger control approval. The Turkish Competition Authority approved the deal last year.

DFDS entered the Turkey-Europe shipping market in 2018 with the acquisition of leading Turkish operator U.N. Ro-Ro linking Yalova and Pendlik with Trieste and Sète. Acquiring a leading Turkish trucking firm allows DFDS to offer end-to-end services, its established business model in Europe.

The international transport network of Ekol Logistics has 3,700 employees and logged sales of DKK 3.5B (EUR 470M) in 2023. The purchase price is DKK 1.9B (EUR 260M). A business and integration plan is in place with the financial objective to improve the EBIT-margin to around 5% by 2027.

“This acquisition is an excellent strategic match for DFDS. Transporting large trailer volumes reliably and efficiently using combinations of road, ferry, and rail is our core business. Moreover, we believe Turkey’s role as a manufacturing hub for Europe will become even stronger in the future as nearshoring drives supply chains closer to end markets,” said Torben Carlsen, CEO of DFDS.

Ahmet Musul, founder and Chair of the Board of Directors of Ekol Logistics, said: “I’m delighted that Ekol Logistics’ international transport network and all its skilled and dedicated employees have found a new home with our longstanding shipping partner DFDS.

“This combination has the potential to make the transport infrastructure between Turkey and Europe more efficient and help raise Turkey’s attractiveness as a manufacturing hub further.”

The Turkey-Europe transport market is on average expected to grow by around 14% annually until 2028 supported by nearshoring of supply chains closer to Europe.