Australian transport logistics company Toll Holdings
Sydney - AFP
Australian transport logistics giant Toll Holdings on Wednesday said it had received a US$5.07 billion takeover offer from Japan Post and recommended shareholders accept.
The Japanese company, a leading global postal and logistics player, offered Aus$9.04 a share for Toll, a 49 percent premium to the company's closing price, valuing it at Aus$6.49 billion (US$5.07 billion).
Under the proposed acquisition, Melbourne-based Toll will be run as a division within Japan Post and retain the Toll name, with the company's chief executive Brian Kruger reporting to his counterpart Toru Takahashi.
"We are delighted to recommend to shareholders that Toll joins with Japan Post," said chairman Ray Horsburgh.
"Japan Post is one of the world’s leading postal and logistics companies and Toll is the largest independent logistics group in the Asia-Pacific.
"Together, this will be a very powerful combination and one of the world's top five logistics companies."
A shareholder meeting to vote on the offer will be held in May, with the deal also requiring approval from Australian Treasurer Joe Hockey under the nation's foreign investment laws.
"We believe the combination of Japan Post and Toll will be a transformational transaction for both our companies and we are very pleased we have been able to reach agreement," said Takahashi.
"In partnership with Toll we are starting a new chapter of looking outward and becoming a leading global player."