Panalpina to take over Norway's Grieg Logistics

PANALPINA has announced the acquisition of Grieg Logistics, a member of the Grieg group, that offers freight forwarding, domestic Norwegian transport, warehousing, distribution and customs clearances, subject to approval from the Norway's competition authorities.


Both parties chose not to disclose the purchase price, but they did say all 100 Grieg Logistics employees would be kept on.


Incumbent CEO Rune Birkeland, will oversee the transition of the company's freight forwarding division into Panalpina's Norwegian organisation, but will stay with the Grieg group after integration with the Swiss-forwarding giant.


The old company will be renamed "Panalpina Grieg" for an interim period. Erik Hutter, who has led Panalpina's oil and gas industry vertical for the past nine years, will manage the Norwegian operations.


Said Panalpina CEO Monika Ribar: "Integrating Grieg Logistics into the Panalpina team is an important step in our growth strategy. Together we have an opportunity to expand our global oil and gas presence and leverage our joint logistics know-how."


The acquisition of Grieg Logistics' core businesses is expected to add NOK400 million (US$70.6 million) to the Panalpina group's annual turnover. Grieg's maritime services and port operations are not a part of the sale and will continue to operate under the name Grieg Logistics after closing the sale of 100 per cent of shares in the company to the Swiss forwarding and logistics giant.


Grieg Logistics chairwoman Elna-Kathrine Grieg said: "When the freight forwarding division of our business is now sold to a company that has a similarly strong position in the same markets outside Norway, we expect that also the Norwegian activity will be strengthened. Panalpina is a solid company with long-term perspectives, and we are therefore comfortable selling to them."
(Source:http://www.schednet.com)