Monday, October 9, 2017

Another Acquisition for Freight and Logistics Giant

UK Supply Chain Company Takeover
Shipping News Feature
UK – German headquartered supply chain group Rhenus has continued its programme of acquisitions with the takeover of Northamptonshire based third party distribution and storage business RCS Logistics. As a subsidiary of Rhenus UK, RCS Logistics' directors Steve Gray and Richard Robinson will take seats on the Rhenus UK board, while all 135 RCS Logistics employees will remain with the business.

The Rhenus brand dates back 105 years but RCS is no start-up operation, itself dating back more than 40 years, and currently operating 350,000 square feet of warehousing in Corby, Northamptonshire. Following the acquisition, Rhenus UK has underwritten an investment which will see the business add a further 90,000 square feet of capacity, due to go live in November of this year. David Williams, managing director at Rhenus Logistics UK, welcomed the move, saying:

“RCS Logistics is an award-winning business with a great customer service ethos. It is an ideal complement to the Rhenus offer in the UK. We’re excited about the opportunity this provides for us to expand the services we provide for our customers and look forward to working together to deliver innovative solutions to the market.”

The agreement was completed at the end of September 2017, with 100% of the shares of RCS Logistics being acquired by Rhenus Group. Rhenus Logistics UK operates 12 sites around the UK, including its headquarters in Manchester. The business, which has recently announced the UK roll-out of a brand new Express product, is set to open a new 60,700 square foot facility in Port Salford at the end of 2017.

This latest move by Rhenus Logistics is only one in a series which has seen growth through acquisition over the past few years. In 2015 the group took a majority stock holding in Swiss based Crossrail AG whilst purchases of Serbian terminal operator CFND and parts of the French Compagnie Française de Navigation Rhénane (CFNR) reinforced the Group’s inland waterway shipping activities. Another Swiss target was KOG Worldwide AG and the preceding two years saw takeovers of the Brenner Group, the Southeast Asian Prolog Group, Britain’s LCE UK and DocuCare in the Benelux.

Rhenus now employs over 28,000 staff in 580 global locations producing an annual turnover circa €4.8 billion. Speaking about his own company’s new deal Steve Gray, commercial director at RCS Logistics, commented:

“Joining the Rhenus family is part of a clear growth strategy for RCS Logistics which will open up service areas for the business and deliver a positive step forward. For customers and suppliers, it will be business as usual – but with the added benefit of a much larger network to call upon to deliver integrated solutions worldwide. We were keen to ensure that any acquiring organisation had the right values for our business, and Rhenus is an ideal fit.”