Netherlands-based logistics giant TNT has taken 100% control of South American provider Expresso Araçatuba Transportes e Logistica SA for €54m.
The company, which has been a partner of TNT Mercúrio in Brazil since 2001, offers express transport from the South and South East of Brazil to the North and Central West regions where a number of automotive manufacturing plants are based.
TNT has an important share in the automotive industry in Brazil with car manufacturers including Daimler, GM, Renault-Nissan, Honda, Scania, Volvo, Mitsubishi and Yamaha.
“We have also set up a vertical market structure with a dedicated Automotive MA Manager to support the development of this segment,” TNT spokesman Cyrille Gibot told Automotive Logistics.
“In addition, Expresso Araçatuba works for the following customers [for the supply of parts]: Moto Honda, Mercedes-Benz, Volvo and Valeo,” said Gibot.
According to TNT the acquisition is “a logical next step to building a pan-Brazilian network” and will strengthen both its domestic presence in Brazil and for transport flows between Brazil, Chile and Argentina.
Roberto Rodrigues, TNT's General Manager for Brazil, added: “Despite the economic slowdown, the automotive industry in Brazil has achieved a stable performance during the first four months of 2009 compared to the same period of last year. The automotive industry is the second biggest industry for TNT in Brazil and has been growing at double-digit rate in 2009 thanks to new contracts and additional focus being put on developing this vertical market.”
In recognition of this growth, Automotive Logistics will be holding its South America summit in Sao Paulo, Brazil between 19th and 20th of this month. Further details are available here