XPO Logistics Inc (XPO.N) has agreed to buy France's Norbert Dentressangle SA (GNDP.PA) for $3.53 billion, including debt, in a deal it says will make it one of the top 10 logistics company in the world.
XPO's shares rose 12 percent after the bell.
The deal will give XPO access to Europe's largest fleet network and push the company's annual revenue to about $8.5 billion, XPO said.
The acquisition will be the biggest in the company's history, according to Thomson Reuters data, and its second this year after its purchase of UX Specialized Logistics.
XPO said the total transaction value of about 3.24 billion euros would include 1.08 billion euros of net debt.
Founder Norbert Dentressangle will sell his family's 67 percent stake in the Lyon-based company for 217.50 euros ($239) per share, a 34 percent premium to the stock's close on Monday. XPO will launch a tender offer for the remaining shares at the same price.
Morgan Stanley has provided a financing commitment of up to $2.6 billion, XPO said.
Following the deal, Norbert Dentressangle Chief Executive Hervé Montjotin, will be chief executive of XPO's European business and president of the parent company.
XPO's New York-listed shares rose to $47.50 after market.
The deal was first reported by Bloomberg.
Morgan Stanley is financial adviser to XPO Logistics. Wachtell, Lipton, Rosen & Katz and Darrois Villey Maillot Brochier are legal advisers. Norbert Dentressangle is being advised by Rothschild, JP Morgan and Bredin Prat.
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