TNT Express Falls After PostNL Sells Half of Its StakeRichard Weiss
PostNL NV, the Dutch mail service, said it sold about half of its 29.8 percent stake in TNT Express NV to reduce debt, sending the shares of the package-delivery service to the lowest in more than four months.
TNT Express fell as much as 0.38 euros, or 5.7 percent, to
6.23 euros in Amsterdam. That’s the steepest intra-day decline since July 29. They fell 3.9 percent at 6.35 euros at 9.19 a.m., valuing the Hoofddorp-based company at 3.46 billion euros.
“The transaction is a further step in safeguarding a sustainable future for PostNL,” The Hague-based company said late yesterday. The 15 percent holding was sold at 6.20 euro a share, resulting in gross cash proceeds of 507 million euros ($692 million) for PostNL and leaving it with a stake of 14.8 percent in TNT Express, the company said in a statement today.
TNT is selling units in China and Brazil and may divest parts of its fashion logistics business after United Parcel Service Inc., the industry’s No. 1, in January dropped plans to buy TNT for 5.16 billion euros amid opposition from European Union regulators.
PostNL sold the shares through a private placement to institutional investors. The company got the stake following the split of TNT Express from TNT in May 2011. The shares were offered at 6.15 euros to 6.20 euros each, two people familiar with the matter said late yesterday.
Deutsche Bank AG and Goldman Sachs Group Inc. were book runners in the process, with ING Groep NV and Rabobank International acting as co-lead managers, PostNL said.