Reverse Logistics GmbH, an indirect subsidiary of Monitor Clipper Equity Partners II L.P., has reached an agreement with Deutsche Post AG for the acquisition of 100% of the shares in Vfw AG. Vfw AG is a leading service provider in the field of reverse logistics. It is currently setting up its own "Dual System" as an alternative provider to the "Green Dot" of the former monopolist Duales System Deutschland GmbH. This transaction was already publicly announced on 3rd January 2007.
Reverse Logistics GmbH submitted today a voluntary tender offer for all outstanding common stock of CCR Logistics Systems AG at the price of €7.50 per share. CCR Logistics Systems AG is a specialist in the management of take-back systems in the automotive, electro and electronic as well as industry and commerce sectors. This offer price corresponds to a premium of 25% over the weighted average share price of CCR Logistics Systems AG for the last three months as last published by the German Federal Financial Supervisory Authority on 9th January 2007.
Simultaneously Reverse Logistics GmbH exercised a call option which it entered into with the founders and other key shareholders of CCR Logistics Systems AG, which together own approx. 39.01% of the company's common stock. The option provides for the contribution of these shares to Reverse Logistics GmbH in exchange for newly issued shares in Reverse Logistics GmbH. The shares of CCR Logistics Systems AG will be valued at €7.50 per share in this transaction. In addition, shareholders which own 14.78% of CCR Logistics System AG's common stock have signed irrevocable commitments to tender their shares to Reverse Logistics GmbH. These shareholders have the option during a limited period to contribute their shares to Reverse Logistics GmbH under the same conditions as in the call option referred to above.
The closing of the acquisition of shares in Vfw AG and CCR Logistics Systems AG are subject to approval by the German antitrust authorities.
Achim Winter, CEO of CCR Logistics Systems AG: "The combination of CCR and Vfw constitutes a business which will offer its customers a unique breadth of reverse logistics services in Germany and Europe. We look forward to our future cooperation with Vfw."
Clemens Reif, CEO of Vfw AG: "This transaction is an optimal outcome for Vfw. CCR and MCP will be very good partners for the future development of Vfw. Following the start-up of our Dual System, the combination of these two companies will become a center of expertise for reverse logistics, and the only full service provider of reverse logistics services in Germany and Europe."
Peter Laino, Managing Director, Monitor Clipper Partners: "Vfw and CCR are very complementary businesses, which together will have a very attractive growth potential in the European market for take-back systems. We intend to actively support both companies in fulfilling their potential."
Monitor Clipper Partners ("MCP") is a private equity firm formed in 1998 to invest in middle market management buyouts, recapitalisations and growth equity. MCP partners with strong management teams who can benefit from MCP's privileged relationship with the strategy consulting firm Monitor Group. MCP is currently investing its second fund Monitor Clipper Equity Partners II L.P. with $800 million in total commitments.