TNT Express is to sell its TNT Innight overnight distribution subsidiary to private equity firm Special Situations Venture Partners III. TNT, which recently announced the approval of the Chinese competition authorfities of its acquisition by FedEx, said it wanted concentrate resources on strengthening its core express delivery activities.
TNT Innight provides night-time distribution services in Europe to companies in sectors such as automotive, agriculture, and engineering machinery, using its own distribution network, distinct from that of TNT Express. It employs about 1,300 people across 40 facilities in Northern and Central Europe.
TNT Express and TNT Innight have some customers in common, which TNT Express will continue to support.
Founded in 2001, SSVP funds invest in medium-sized companies and corporate subsidiaries. It has a current portfolio of seven companies with annual worldwide revenues of €1.5 billion.
TNT Innight will continue to operate as a standalone business, under a new brand name. Subject to conditions being met, the transaction is expected to close in the third quarter of 2016.
