However, the Chinese market is characterized significantly by State-controlled companies (E.g., Sinotrans, Zhongchu or COSCO), so the focus of buyers especially on target companies is medium size that allow market entry. Fig. 5: The most important transactions in the transport & logistics sector since 2000 and whose motives source: Lazard research IV interest by private equity interest of private equity has the logistics M & A market in the past, especially in Europe as a whole played a rather below average role. This was due in part to the relatively low margins in the logistics field of the standard or the relatively high capital intensity in the carrier and network shops (especially road transport and contract logistics), where a market-leading presence and thus competitiveness requires significant initial and follow-on investments. In addition the cyclicity and some Depending on individual sector hard points of the carrier. There is also a relatively high transparency in relation to differentiation/USP compared to the competition in the fragmented market structure of many small and medium-sized enterprises. This is often only in the specific business process flows and management Know-How, and less in measurable factors such as technology or access to customers/resources. In addition, the transparency and the level of detail of financial figures are not sufficient for the due diligence requirements of classic financial investors were especially in medium-sized and smaller providers.
So the major integrated logistics providers have dominated but mostly many years market M & A. These factors mean that the typical characteristics of private equity target companies such as leadership, high profitability and solid cash flow generation with simultaneous low future investment need difficult and possibly in niche segments are. In general it can be said however, that in the United States of the investment activity was by private equity in the logistics sector historically always greater than in Europe or Asia.