French tycoon Bollore gets $6.4 bln offer for African logistics assets

PARIS — French billionaire Vincent Bollore has received a 5.7 billion-euro ($6.43 billion) offer from Mediterranean Shipping Company (MSC) for its African logistics assets, a deal that would transform his family group just two months before his retirement.

The bid by privately owned MSC, the world’s second-largest container shipping company, comes after major acquisitions by its rivals CMA CGM and Maersk in port infrastructure and non-maritime logistics services.

The COVID-19 pandemic has prompted shortages of container ships and logjams at ports at a time of very high consumer spending, which has sent freight rates to record levels.

This has filled the coffers of the biggest shipping lines and prompted them to seek further integration by snapping up land-based services.

In this context, Bollore group couldn’t keep up with the investments implied by increased competition in Europe but also from cash-rich newcomers from China and the Middle-East, a source close to the matter said.

The sale of Bollore’s African assets would deprive the listed family-owned group, valued at 12.9 billion euros on the market, of a large chunk of its historical activities and would make its holdings in media group Vivendi the center of gravity of the company.

The announcement comes just two months before Vincent Bollore, 69, is set to hand over the reins of this group to his four children.

The businessman, who spent most of his adult life building up this key activity through acquisitions and personal connections with statesmen in West Africa, has repeatedly said he would retire on Feb. 17, 2022, which marks the 200th anniversary of the group, founded in Brittany.

Bollore Africa Logistics employs about 20,800 people and has 16 container terminal concessions. It also operates three rail concessions.