Forwarder DSV Buys Deutsche Bahn's Schenker For $15.9 Billion

Denmark's DSV has announced that it has signed an agreement to acquire Schenker, the logistics unit of the German state rail operator Deutsche Bahn, for 14.3 billion euros ($15.85 billion).

DSV's purchase of Schenker is expected to elevate it above Swiss group Kuehne und Nagel in both volume and revenue. I Photo: DB Schenker Facebook

This deal could position DSV as the world's largest freight forwarder, according to a report by Louise Rasmussen, Stine Jacobsen, and Jacob Gronholt-Pedersen for Reuters.

"The acquisition of Schenker is a transformative transaction for DSV, creating a world-leading player in the global transport and logistics industry," the logistics company said in a statement.

Reuters reported that the Danish group had secured the deal to acquire Schenker, citing sources within the railway and the German government.

DSV's purchase of Schenker, the most expensive acquisition by a Danish company to date, is expected to elevate it above Swiss group Kuehne und Nagel in both volume and revenue, making it the top freight forwarder globally, according to brokerage Sydbank.

DSV, which started as a small enterprise of 10 truckers in 1976, said the commercial and operational synergy between the two companies would lead to growth, job creation, and strong financial returns.