MILAN, Nov 16 (Reuters) - Poste Italiane said on
Monday it was buying domestic rival Nexive from German fund
Mutares and Dutch mail and parcel group PostNL
Poste Italiane, the former postal monopoly in Italy, said it
plans to consolidate Nexive, the country's second-biggest mail
group, and its 1,300 workers, giving it a market share in Italy
of around 94% in mail delivery and 24% in parcel distribution.
The acquisition will allow Poste to extract synergies from
its loss-making smaller rival, which has been struggling to cope
with falling mail volumes and the impact of the coronavirus
"As a result of the acquisition, we mainly expect cost
savings," Poste Chief Executive Matteo Del Fante said, speaking
with journalists on Poste's TV channel.
Nexive has an approximate 12% market share, with annual
volumes of around 350 million items, of which 5% was registered
mail in 2019. It also has a 1% market share in parcels.
"The acquisition will be key for Poste to shorten the time
to break-even of its mail, parcel and distribution division,"
Del Fante said, without giving a precise timeline.
Poste reported a 1.3 billion euro ($1.54 billion) net profit
last year as its insurance, banking and digital payments
businesses more than offset a 306 million euro loss at its
parcel and distribution division. Restrictions linked to the
coronavirus pandemic have further reduced mail volumes, it said.
The precise value of the Nexive deal, which is expected to
close by January, will be calculated at the end of a due
diligence process, Poste said, adding the initial agreement was
based on an enterprise value for Nexive of 60 million euros.
The Italian antitrust watchdog has give a preliminary
approval to the deal, but has 30 days to ask for potential
($1 = 0.8446 euros)
($1 = 0.8445 euros)
(Reporting by Francesca Landini; Editing by Susan Fenton)