Preparation of a reduction of the Danish State’s shareholding in Post Danmark A/S

06. juni 2003

Today, The Ministry of Transport has published the results of an initial analysis regarding a reduction of the Danish State’s shareholding in Post Danmark A/S.

 

The analysis, carried out by the international financial advisors, Rothschild, contains a.o. a description of the preconditions that have to be fulfilled before a sale, and how a sale of shares can best be achieved.

 

The analysis concludes that Post Danmark A/S is a well-run business. At the same time it is made clear that the postal market, and therefore Post Danmark A/S, faces major challenges due to the developments of liberalisation and increased competition from electronic media.

 

According to the analysis it is an important precondition before starting the formal sale process, that the future regulatory framework of the Danish postal sector is clarified so that the terms according to which Post Danmark A/S has to operate in the coming years are known.

 

It is concluded in the analysis that at this point in time a public listing of the company is not an obvious method to carry out a sale. Instead a sale to a strategic investor – meaning other postal and logistics operators – is viewed as a likely scenario, however a sale to financial investors is also considered a possibility.

 

The Minister of Transport, Mr. Flemming Hansen says:

 

-The elaboration of the initial analysis has created a good basis for the continued preparation of the privatisation of Post Danmark A/S.

 

-The Ministry of Transport together with its financial advisors will now initiate a thorough “screening of the market” in order to establish which investors are interested in buying shares in Post Danmark A/S.  We are not excluding anyone ex ante and we want to perform the screening in an objective and efficient manner.

 

-In so doing we are efficiently using the time available until the future  regulatory framework is agreed politically, therefore establishing the basis for a fast and efficient sales process.

 

-The future regulatory framework will be determined in cooperation with the Political Parties of The Folketing who are already called in for a meeting this month.

 

The results of the initial analysis are available on www.trm.dk under the section “Publications”.

 

Enquiries regarding the content of this press release should be directed to:

 

The Danish Ministry of Transport

Michael Birch, Permanent Under-Secretary of State

Direct: +45 33 92 38 96

E-mail: mbh@trm.dk