SCHENKER AG, part of Deutsche Bahn AG, is to acquire a 75 per cent stake in UK-based Redhead Holdings Ltd in early 2016 subject to approval from antitrust authorities.
The deal will require DB Schenker Logistics to combine its road-activities in the UK in a joint venture with UK logistics company Redhead International. The two businesses will trade as Redhead International, which will continue to be developed by the management team, a statement from DB Schenker said.
The new land transport organisation, utilising 300 vehicles, will operate from five regional depots across the UK.
Board member for Land Transport of Schenker AG, Ewald Kaiser, said: "This acquisition underscores our strategy to strengthen and grow our pan-European network. It improves our access to the UK market and the combined resources will facilitate our strategic growth aims."
Redhead is a member of the national pallet network, Palletforce that operates 100 depots throughout the UK.
Said Redhead managing director Tony Suggitt: "The new venture brings the best of both companies together and will further strengthen the infrastructure of our UK and European network."
Source : HKSG.