CVC in talks for partial takeover of TNT

[POSTMAN]

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Private equity firm CVC Capital Partners is in talks with Dutch post and logistics group TNT (TNT.AS) about a partial takeover of its troubled mail unit, a Dutch daily reported on Saturday, citing unnamed sources.

CVC CVC.UL is asking for a "substantial stake" in TNT Post in a deal estimated at about 1.5 billion euros ($1.86 billion), Het Financieele Dagblad cited sources close to the discussions as saying.

"The game is in motion and is picking up speed," the paper quoted one of the sources as saying.

"We do not comment on market rumors," a TNT spokesman said. "We are busy with the legal and administrative work associated with the separation of the mail unit," he added. CVC was not immediately available to comment on the report on Saturday.

TNT said in April it was considering a listing or partnerships for its mail unit, which is struggling with declining postal volumes due to increased competition and a rise in electronic communication.

Analysts have estimated the unit's enterprise value at up to 3.5 billion euros.

CVC Capital Partners has emerged as a private equity player in mail in Northern Europe. It owns part of Belgium's De Post - La Poste. In the past, it has owned a stake in the Danish postal service and has made an offer for Britain's Royal Mail.

Investors are betting that separating TNT's mail from its express business will increase the chances of an offer from U.S. rivals FedEx (FDX.N) and UPS (UPS.N) for express, analysts have said.

[walksyo]

http://www.reuters.com/article/idUSTRE6 ... vationNews

Private equity firm CVC Capital Partners is in talks with Dutch post and logistics group TNT (TNT.AS) about a partial takeover of its troubled mail unit, a Dutch daily reported on Saturday, citing unnamed sources.

CVC CVC.UL is asking for a "substantial stake" in TNT Post in a deal estimated at about 1.5 billion euros ($1.86 billion), Het Financieele Dagblad cited sources close to the discussions as saying.

"The game is in motion and is picking up speed," the paper quoted one of the sources as saying.

"We do not comment on market rumors," a TNT spokesman said. "We are busy with the legal and administrative work associated with the separation of the mail unit," he added. CVC was not immediately available to comment on the report on Saturday.

TNT said in April it was considering a listing or partnerships for its mail unit, which is struggling with declining postal volumes due to increased competition and a rise in electronic communication.

Analysts have estimated the unit's enterprise value at up to 3.5 billion euros.

CVC Capital Partners has emerged as a private equity player in mail in Northern Europe. It owns part of Belgium's De Post - La Poste. In the past, it has owned a stake in the Danish postal service and has made an offer for Britain's Royal Mail.

Investors are betting that separating TNT's mail from its express business will increase the chances of an offer from U.S. rivals FedEx (FDX.N) and UPS (UPS.N) for express, analysts have said.

THATS GOOD NEWS FOR US THEN.........KEEP THE TOSSERS AWAY!!!