Eimskip Acquires Mareco in Belgium

Eimskip has strengthened its position in worldwide reefer logistics services by acquiring 80% of the forwarding company Mareco N.V. The company was founded in 2002 and its headquarters are located in Antwerp,Belgium. The current management team will continue to own a 20% share in the company and will manage its operations. Mareco employs 26 people in two locations, 22 in Antwerp and four in Sao Paulo, Brazil.

Mareco focuses on reefer logistics services, especially export to West, Central and South Africa from all over the world. Main commodities are seafood, chicken, pork and beef. The company’s annual revenue amounts to approximately EUR 60 million, with EBITDA ratio of 5-6% and it transports about 32,000 TEU per year. The acquisition is estimated EUR 16.6 million, subject to the company’s financial results for the year 2016, and isfinanced with cash and debt. Mareco will become a part of the Eimskip group as from the beginning of this year.

In relation to Eimskip’s investment and acquisition projects, the company has made an agreement with Íslandsbanki for a revolving credit facility with an agreed term of 18 months in the amount of EUR 47 million. Due to the acquisition of Mareco, Eimskip has drawn EUR 7 million on the credit facility.

The acquisition of Mareco expandsEimskip’s geographical reefer logistics network, especially in areas in Africa and South America, and increases the variety offrozen commodities. Mareco’s network will support the groupto capitalize on new opportunities in new regions and supports further development in Eimskip’s reefer logistics services.

Gylfi Sigfússon, President and CEO of Eimskip said, “We are pleased to haveMarecoas a part of the Eimskip group and the company will further strengthen our reefer logistics services with a wider scope of Eimskip’s services, both in terms of newcommodities and new geographical areas. This will also increase our diversificationand the valuable experience of Mareco’smanagement and employees will help us to further strengthen our worldwideforwarding operation.”

Koen Jansen, Managing Director of Mareco informed, “We have known Eimskip for many years and are very excited to become a part of the Eimskip group as we think we can bring a great knowledge and expertise to the group. In the past, the two companies have been focusing on different markets and different commodities and therefore we foresee that both companies will benefit from each other’s experience in growing into new markets.”