| Company announcement no. 56 |
expanded customer cooperation boosts mediterranean routes
DFDS and Ekol Logistics have today agreed to significantly expand their cooperation regarding the transport of freight units on DFDS' ferry routes that connect Turkey with Italy.
Ekol Logistics provides transport and logistics solutions for freight between mainly Turkey and Europe. The company is one of Turkey's leading logistics providers.
"We are very pleased to expand our cooperation with Ekol Logistics which gives us an opportunity to support the growth of an even wider range of transport companies and industries involved in the dynamic trade between Turkey and Europe. The agreement will also help us achieve the long term goals we have set for our significant investment in Turkey's transport infrastructure," says Niels Smedegaard, CEO of DFDS.
To accommodate the volume increase of around 30%, DFDS has entered into agreements to expand both port terminal and route capacity.
In Istanbul, an agreement has been entered into with the Yalova port terminal for a 10-year period. DFDS will thus have departures from three port terminals in Istanbul going forward: Ambarli, Pendik and Yalova.
In addition, DFDS' first two freight ferry (ro-ro) new buildings, scheduled for delivery in 2019, will be delivered to Turkey for deployment between Turkey and Italy. In addition, route capacity will be increased through reallocations in DFDS' route network and external charters.
"The route capacity increase adds further frequency to DFDS' routes and the additional port terminal in Istanbul widens the network. With higher frequency and a more accessible port infrastructure, DFDS will continue to support Turkish exporters and the growth of transport and logistics companies in the market," says Selcuk Boztepe, Head of DFDS' Mediterranean business unit.
Outlook 2018
The outlook for 2018 is unchanged with regard to revenue and earnings.
The new port terminal agreement in Yalova is, however, expected to increase investments in 2018 by around DKK 450m comprising mainly prepayments allowing the Yalova terminal to expand and improve the terminal.
DFDS' investments in 2018 are thus now expected to be around DKK 5.15bn compared to previously DKK 4.70bn.
Contact
Niels Smedegaard, CEO +45 33 42 34 00
Torben Carlsen, CFO +45 33 42 32 01
Søren Brøndholt Nielsen, IR +45 33 42 33 59
Gert Jacobsen, Communications+45 33 42 32 97
