News / AD Ports' Noatum buys Spanish finished vehicle logistics specialist

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Less than a year after buying Spanish ports and logistics group Noatum in a $660m deal, Abu Dhabi-based AD Ports Group has used its new subsidiary to acquire finished vehicle logistics operator Sesé Auto Logistics.

The deal will see Noatum acquire 100% of the operator from parent Grupo Logístico Sesé for €81m ($85.75m), which it said implied a trailing EV/EBITDA of around 3.5x, based on its €100m revenue in the 12 months to August, with and EBITDA margin of 22.5%. The deal is expected close in Q1 24, subject to regulatory approvals.

The acquisition is part of AD Ports’ vertical integration strategy, as it expands beyond port and terminal operations into 3PL activities, with automotive identified as a key target industry. Sesé is expected to be folded into the Noatum Automotive division.

“With the addition of Noatum, we are delivering on our wise leadership’s ambitious vision and our strategy to expand our presence, and build end-to-end supply chains across major global markets, notably in Europe and the Mediterranean region,” said Mohamed Juma Al Shamisi, MD and group CEO of AD Ports Group.

“Sesé Auto Logistics brings to us significant capabilities, expertise and logistics networks, will allow us to further expand within Europe’s growing and profitable automotive sector, and pave the way for us to become a leading global provider in the FVL industry,” he added.

Sesé offers road and rail logistics  across five main European countries, Spain, Germany, Poland, Czechia and Hungary, with a fleet of over 200 trucks that cover more than 30m km a year.

Its client list includes Renault, Stellantis, Mazda, Daimler, BMW, PSA and MAN. AD Ports estimates the European finished vehicle market to be worth €3bn and expects it to grow 6% in the medium term, following “a normalisation of the European automotive logistics market, which has been factored in the transaction business case”.

It added: “This transaction will also generate significant synergies with Noatum’s port terminals business in Spain, offering an integrated logistics solution that will reinforce Noatum Automotive’s services for OEMs and other stakeholders.”

Antonio Campoy, CEO of Noatum Logistics Cluster, added: “Our goal is to strengthen our product range throughout the entire logistics supply chain and to become one of the main global players in the automotive sector.”