UPS extends offer period for proposed TNT acquisition

Washington DC
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The period for a public offer by UPS for TNT Express has been extended to 9 November from an initial deadline of 31 August.

UPS' €5.16 billion ($6.28 billion) offer for the Dutch logistics company comes after it proposed a previous unsolicited offer to acquire the company for €4.9 billion ($6.5 billion) on 11 February, which TNT Express rejected.

UPS said on 13 July that it would likely extend the offer period for its proposed acquisition of TNT after learning the European Commission would be undergoing an investigation regarding the proposed transaction.

On 20 July, the European Commission announced that it would launch an "in-depth" investigation to look at whether the proposed acquisition would hinder competition in Europe's economic zone. The commission has until 28 November to make a decision.

UPS and TNT expect to close the transaction by the fourth quarter of 2012.

UPS said in March it would sell the rights to TNT Airways due to EU rules about foreign investment in airlines.