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02/2023

MCBURNEY TRANSPORT GROUP acquired by DFDS

UNITED KINGDOM Transport & Logistics / Freight Transport / Road Freight EV 1b - 4b DKK

Context

DFDS agreed on 29 December 2022 to acquire McBurney Transport Group, the Northern Ireland family-owned road haulier, from its founder Norman McBurney, at an enterprise value of DKK1.1B. McBurney generated revenue of and an EBITDA of , an EV/EBITDA multiple of . DFDS expected the purchase to raise its financial leverage by 0.1x in terms of net interest-bearing debt to EBITDA, and to add to both earnings per share and return on invested capital, against its minimum after-tax target of 8%. The acquisition fitted DFDS’ focus on cold chain logistics and overlapped with the operations it already ran in the region, with the possibility of connecting McBurney’s traffic to its pan-European transport network. DFDS also expected savings from greater purchasing scale and better use of its network. Regulatory approval came on 23 February 2023 and the deal completed five days later, on 28 February, when McBurney was consolidated into the DFDS group. Carolyn Carmichael was appointed managing director of the business, which joined the cold chain unit of DFDS’ logistics division. Integration was expected to take about a year, with the IT systems to follow.

The acquisition of Mcburney Transport Group is part of the growth strategy of Dfds, which already has several external growth operations under its belt, notably Lucey Transport Logistics in 2022.

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Target

The activity revolves around moving cold chain and dry goods in trailers by road and ferry between the island of Ireland and the UK, complemented by warehousing and distribution. McBurney Transport Group, headquartered in Northern Ireland, also provides other logistics services. The group operates a fleet of trucks and trailers, including refrigerated units, and runs temperature-controlled and ambient warehouses with depots located across the UK and Ireland. Its customers are high-street retailers, supermarkets and food producers. Founded by Norman McBurney, the family-owned business serves these customers through its own fleet and depot network.

Ent. Value

FREE VIEW

1150M DKK

Equity Value

Multiples

EV / Revenue

EV / EBITDA

EV / EBIT

Historical Financials (DKK)

Year
Rev
EBITDA
EBIT
2022
2021

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REFERENCES

Valuation range: EV 1b - 4b DKK

Revenue range: 1b - 3b DKK

EBITDA range: 150M - 250M DKK

Note: This page provides detailed data on a private equity M&A transaction. Detailed and exact financial metrics for the acquisition of MCBURNEY TRANSPORT GROUP by DFDS are reserved for mynth community members. Register for free to unlock full data.

Authors: This transaction was contributed by a verified mynth contributor and cross-checked against available transaction documents and official company communications.

Press release: view release

Target: mcburney transport group

Acquirer: dfds