AD Ports Group acquires Noatum for $660 million

AD Ports Group has acquired Spanish company Noatum, a global integrated logistics platform operating in 26 countries, for AED2.5 billion (€660 million/$660 million).

Noatum’s trailing twelve months (LTM) revenue and EBITDA were €1.80 billion and €145 million, respectively. The total purchase consideration (enterprise value) for 100% ownership implies an LTM EV/EBITDA of 4.6x, according to an official statement. “This value and earnings accretive acquisition, which significantly expands AD Ports Group’s global footprint and positions it among the world’s leading logistics and freight forwarding companies, will be fully financed by a new loan from ‘acquisition.”

Noatum will lead AD Ports Group’s logistics cluster, consolidating the company’s existing logistics offering into its operations, the statement added.

This will be AD Ports Group’s third major international acquisition in 2022 after acquiring a 70% stake in Transmar and TCI in September, and acquiring an 80% stake in Global Feeder Shipping (GFS), based in Dubai.

Noatum operates in three business areas – logistics, maritime and port terminals – with leading market positions in Spain and Turkey and a significant presence in the United States, United Kingdom, China and Asia Southeast, the statement said.

“Noatum’s global logistics business specializes in comprehensive freight management, project logistics, contract logistics, international supply chain management, customs and electronic solutions with offices and an extensive network of In particular, Noatum has advanced capabilities in the transport of heavy loads logistics, which the AD Ports group wishes to bring to the region.

“The company’s terminal operations include 15 ro-ro, dry bulk, general cargo and container terminals in Spain, supported by highly professional management, while its marine division provides ship agency services, including outsourcing and ancillary services, and freight services, such as bulk liquids, general cargo, refrigerated and dry cargo.”

The company, which employs more than 2,600 professionals, provides tailored multimodal transport solutions, comprehensive logistics services and advanced port operations in its key markets, and aligns well with AD Ports Group’s integrated business model, according to the press release.

“AD Ports Group continues to expand its global footprint through value-added acquisitions and partnerships with market leaders,” said Falah Mohammed Al Ahbabi, President of AD Ports Group. “This ambitious acquisition brings a major global logistics platform to the AD Ports Group family, significantly enhancing our global connectivity and expanding the range of maritime, logistics and port solutions we can offer as we pursue a determined growth strategy. AD Ports Group is one of the most important global players in finished vehicle logistics, which we intend to expand in our national and core markets.”

Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO, AD Ports Group, added: “We thank the leaders of the United Arab Emirates for their guidance and support in this historic acquisition, which is expected to be one of the largest in the world. sector this year. Integrating Noatum into our integrated network of businesses will add scale and new layers of expertise, supporting both our global ambitions and our contribution to economic diversification within the UAE. Noatum operates an asset-light model with a high cash conversion rate and immediate contribution to our finances, while positioning us for international expansion. We will leverage the acquisition of Noatum to build a strong international logistics brand with deep roots in this region.

Subject to regulatory approvals, the transaction is expected to close in the first half of 2023. As part of the transaction, Noatum’s management is locked in for a period of three years to ensure a smooth integration, the statement added.

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