Exel Board Approves Acquisition by Deutsche Post

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erman package delivery company Deutsche Post AG said Monday it will buy U.K.-based Exel Plc for 5.5 billion euros — about $6.7 billion — making it the largest global logistics company.

The deal, which still has to be approved by Exel’s shareholders, would be Deutsche Post's largest international acquisition, AP said. It comes as the company, Europe's biggest postal service provider, is trying to reduce its dependence on its German mail operations.

John Allan, Exel’s chief executive, said that the company’s board had provided “irrevocable” support for the Deutsche Post offer and urged Exel’s shareholders to approve the merger, AP said.

But Allan, who will lead the integration process and remain head of the newly combined logistics activities, said the board will consider potential rival offers, AP reported.

Deutsche Post is the parent company of DHL Americas, No. 4 on the Transport Topics 100 listing of U.S. and Canadian for-hire carriers.

Exel is ranked No. 1 on the TT Logistics 50 listing of the largest U.S. and Canadian logistics firms.