CVC urges Deutsche Bahn to reconsider Schenker sale to DSV, letter shows
Recasts paragraph 2 to show that CVC willing to increase offer, adds CVC declines to comment in paragraph 7, context in paragraphs 8-9
BERLIN/FRANKFURT, Sept 18 (Reuters) -Financial investor CVC CVC.AS is urging German state railway conglomerate Deutsche Bahn to reconsider its $16-billion sale of logistics arm Schenker to Denmark's DSV DSV.CO, a letter seen by Reuters showed on Wednesday.
CVC, which was the final bidder up against DSV, said in its letter dated September 17, it would be prepared to discuss an increase in the equity value of its offer to address any concerns, having already sweetened its offer last week.
Later last week DSV announced it would buy Schenker for 14.3 billion euros ($15.9 billion) in a deal that would make it the world's biggest logistics company.
The financial investor criticised the underlining calculations for the deal in its letter.
"We are therefore firmly convinced that our offer is economically advantageous compared to the DSV offer, which is why we should have been awarded the contract for the acquisition of Schenker," said CVC's letter sent to Deutsche Bahn.
CVC would welcome a process based on "equal treatment and transparency", it added.
A spokesperson for CVC declined to comment on the letter. A Deutsche Bahn spokesperson said the sales process was transparent, open and non-discriminatory.
"The result is clear: The successful bid in the sales process was the best in economic terms from all aspects and in line with clearly communicated tender parameters," they added, saying that it was assessed by an independent auditor.
German labour union Verdi warned last month that selling Schenker to DSV would lead to thousands of job losses.
Deutsche Bahn put Schenker up for sale last year to concentrate on its core railway business in Germany and reduce its debt.
The deal is still subject to approval by the supervisory board of the state-owned company and the German government.
($1 = 0.8990 euros)
Reporting by Markus Wacket and Emma-Victoria Farr, writing by Thomas Seythal, editing by Madeline Chambers and Elaine Hardcastle
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