AFR: Little doubt where bankers trying to find Toll Holdings buyer

The Australian Financial Review reports:

Bankers are scrambling to find a bold and cashed-up buyer for the country’s biggest road freight company and integrated logistics bigwig, Toll Holdings.

Street Talk’s revelations that Toll owner Japan Post was in the market for bankers to help consider exit options set the cat among the pigeons, and had M&A teams updating dusty Toll pitchbooks and thinking about who would be the natural owner.

Finding a buyer isn’t a straightforward assignment, even with the hint of blood in the water.

Early consensus is that it requires a cashed-up and brave investor, with a solid understanding of Australia and the region’s logistics chain. As Japan Post found out the hard way, capital can take a Toll investor so far – it’s just as important to have on-the-ground industry knowledge to navigate a tough and fast-moving environment.

So you can expect bankers will be trying to mash cashed-up private equity firms with logistics groups to get a competitive bidder for what is Australia’s No.1 road freight transport company and No.2 integrated logistics player behind Australia Post.

The dream buyer though, and from what we understand a person very much in the spotlight again, is Toll founder and now Rich Lister Paul Little.

Little made his multibillion-dollar fortune when Japan Post came knocking in 2015 and has since proved to be an astute investor traversing property, PEXA and more recently the aviation and marine sectors.

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