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MEDLOG Acquires UK’s Maritime Group Expanding MSC’s Logistics Portfolio

logistics
MSC is expanding its MEDLOG logistics business with an UK acquisition (MEDLOG)

Published Sep 3, 2024 7:49 PM by The Maritime Executive

 

MSC Mediterranean Shipping Company is continuing its acquisition spree this time turning to further enhancing its overland transportation network through the acquisition of UK’s leading freight logistics company Maritime Group Limited and Maritime Transport. The acquisition was made by the Swiss-based logistics operator MEDLOG, which is a subsidiary of MSC. The sale was completed on Monday without disclosing the deal’s value.

Maritime Transport employs around 3,000 personnel across 41 sites including a network of strategic rail terminals. It also operates 1,600 container transport trucks and over 30 daily rail services in and out of major UK ports.

The deal adding Maritime Group to the MSC family, CEO Soren Toft said is pivotal in expanding MSC’s footprint in the UK. Maritime Transport will continue business under its original brand, with new investment support from MEDLOG. The current management team will also remain headed by John Williams.

“We are really pleased to have secured the long-term future of the business. In MEDLOG, we share a common heritage, culture, values, and understanding and we look forward to their support,” said John Williams, Executive Chairman of Maritime Group.

MSC is pursuing extraordinary growth across all segments of its business, especially in its liner portfolio. Recent estimates by Alphaliner show that it now controls 20 percent of the global shipping market. Liner capacity has surpassed 6 million TEU with orders for an additional 1.8 million TEU of capacity. In shipping, MSC also recently acquired Gram Car Carriers for its entry into the RoRo segment of vehicle transport.

The acquisitions and growth however are not limited to the shipping business. MSC has also been on a buying spree of major logistics companies across key regional markets.

MEDLOG was launched in 1988 and has been growing as the inland logistics partner, especially in Europe, for the group. Currently, MEDLOG, through its rail freight arm MEDWAY, controls key railway infrastructure connecting major ports in Northwest Europe spanning Belgium, Netherlands, Germany, and Austria. With the addition of Maritime Transport, this logistics footprint is now set to expand in the U.K.

Early this year, Maritime Group was appointed as the long-term operator of the Strategic Rail Freight Interchange (SRFI) at West Midlands, the UK’s largest logistics development. The site is comprised of 8 million sq. feet of commercial space and features its own rail hub. It will allow for the transfer of large volumes of freight off the roads onto the rail network.  

In the spring, CMA CGM also made a play to grow its UK logistics operations. They made a successful offer for Wincanton but were outbid by a U.S. logistics company, GXA. Since Brexit, the UK has become an increasingly interesting growth market for the major shipping/logistics companies.