DSV narrows earnings guidance, launches €5bn equity funding backing Schenker purchase

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DSV updates the market saying that based on the preliminary earnings estimates for the first nine months of 2024 and expectations for the rest of the year, it is narrowing the full-year Ebit guidance for 2024 as follows:

“EBIT before special items is now expected to be in the range of DKK 16,000-17,000 million (previously DKK 15,500-17,000 million).”

Q3 24 interims are expected on 23 October.

In a separate announcement, the Danish forwarder said it plans to “raise DKK 37.3 billion [€5bn] through the issuance of new shares in an underwritten directed issue and private placement to certain institutional and professional investors through an accelerated bookbuilding process”. The funding will be partly used to finance the purchase of Schenker.

As part of the deal, DSV has received cornerstone commitments “in respect of Dkr21 billion [€2.8bn] in aggregate, including $1.1 billion from funds and accounts under management by direct and indirect investment management subsidiaries of BlackRock, ~€600 million from Canada Pension Plan Investment Board (CPP Investments), ~$700 million from funds and accounts managed by Capital Group, $400 million from Norges Bank Investment Management (…) Dkr1.0 billion from BLS Capital Fondsmæglerselskab A/S and Dkr500 million from ATP”.

(PS: The equity issuance round wrapped up in flash, according to plan – the full statement from 4 October is here.)