Copenhagen, 2012-03-27 13:28 CEST (GLOBE NEWSWIRE) -- Company Announcement no. 10/2012
- Joint venture combine DFDS’ Dover-Dunkirk route, the jointly operated Dover-Calais route, and LD Lines’ three routes between France and the UK, and Tunisia, respectively
- DFDS will be the majority shareholder with an ownership share of 82%
DFDS and Louis Dreyfus Armateurs (LDA) have today entered into an agreement to form a new company combining DFDS’ Channel operations and LD Lines’ ferry operations. The new company is expected to start operations with effect from 1 July 2012.
DFDS’ ownership share of the new company will be 82% and LDA will own 18%.
The following routes will be included in the new company:
- Dover-Dunkirk
- Dover-Calais
- Portsmouth-Le Havre
- Newhaven-Dieppe
- Marseille-Tunis
LD Lines is a French ferry company and a 100% owned subsidiary of LDA. LD Lines was established in 2003 and currently operates four routes of which one route, St. Nazaire-Gijon, will not be included in the joint venture. LD Lines will transfer four chartered ships and one owned ship to the joint venture.
Strategic fit
The joint venture with LDA expands and consolidates DFDS’ route network, and further leverages DFDS’ operating model.
By combining the capabilities and operations of LD Lines and DFDS, a new and stronger company is formed, that is well positioned to defend and grow its customer services on the competitive Channel market.
The new company expands DFDS’ route network in line with DFDS’ strategy of creating a European shipping and logistics network.
Overview of operations in new joint company
| Channel (Dover Strait) | Western Channel | Mediterranean | Total | |
| Routes |
Dover-Dunkirk Dover-Calais* |
Portsmouth-Le Havre Newhaven-Dieppe*** |
Marseille-Tunis | 5 |
| Ships | 5 ro-pax (4 owned, 1 chartered) | 3 ro-pax (all chartered) | 1 ro-ro (chartered) | 9 |
| Freight, lanemetres**, ‘000 | 12,500 | 875 |
200 |
13,575 |
|
Passengers**, ‘000 |
4,000 | 500 |
N.a. |
4,500 |
| Estimated revenue (year 1)**, DKK m | 1,500 | 450 | 100 | 2,050 |
| No. of employees | 900 | 250 | 10 | 1,160 |
* 1 ro-pax ship, NORMAN SPIRIT, is currently chartered from LD Lines to the Dover-Calais route.
**Estimated volume/revenue for a full year of operation. New company is expected to start operations on 1 July 2012.
***Route concession until 2014
Transaction conditions
The transaction is subject to customary conditions and consents.
LDA profile
Louis Dreyfus Armateurs is a privately owned French shipping Group operating in several market segments apart from ferry shipping, including dry bulk transport and logistics, maritime engineering services and offshore services.
