Deutsche Post in talks with Exel

DHL owner Deutsche Post has made an approach to buy the UK logistics group Exel in a deal that could be worth more than £3bn (€4.4bn), it emerged today.

Bracknell-based Exel ended months of speculation when it revealed to the stock market that it was in the early stages of talks with Deutsche Post.

Shares in Exel, which delivers products on behalf of numerous UK retailers, jumped almost 15% to 1152p – giving it a market value of more than £3.3bn (€4.82bn).

As well as Deutsche Post, Exel has been seen as a likely bid target for US giant United Parcel Services.

Exel employs 109,000 people worldwide and has itself been active in the consolidation of the logistics sector after buying for UK rival Tibbett & Britten last year.