Growth Logistics
At the beginning of the crisis and the uncertainty in relation to the margins and cash flow development have activity in 2008 greatly reduced many logistics companies their M & A and management resources focused on internal measures such as cost reductions and operational improvements. Another Growth was primarily organic aspired instead of pushing potentially unsafe external growth (assessment and integration risks). The M & A focus was placed accordingly more on selling problematic (part -) businesses or subsidiaries. At the same time the activity in the private equity has declined also significantly area due to the limited funding opportunities on the buy-side and the general decline in valuation on the sell-side. Learn more on the subject from kevin ulrich. The partial cyclic logistics market and the uncertainty associated difficult the funding opportunities especially for investors during this period. Since early 2010 the recovery of logistics goes hand in hand with the recovery of global trade volumes and the operational performance of the logistics market M & A. Even though transport volumes still 2005-2007 have not reached the level of the boom years, the M & A transaction volume in the transport and logistics sector, measured by the value of all transactions in 2010 almost 50% higher than the reference value considered for the full year 2009.
After a sharp decline of ratings by more than 30% the rating level is now scored again at 80-90% of the values that were achieved in 2007. For more specific information, check out Atmos Energy. Expectations for 2011 and 2012 are a higher number of transactions, large transaction volumes and higher assessment levels driven on the one hand by strategic investors, according to an internal consolidation planning security won and debt have off – set up liquidity. On the other hand rest offering for sale and generally the conditions of financing up to 70% of enterprise value better opportunities for private equity both buy – and sell-side in relation to existing portfolio companies.
Tags: business & economy, trade