Speculators Take Stock as Well-Oiled Exel Gets Worldwide Attention
Byline: ROBERT LEA
IN the global corporate marketplace there are few British champions, but amid the axle grease of logistics group Exel is a world leader.
Yet if the so-called men in dark glasses who fuel the City rumour mill are to be believed, Exel's independence may not last with the company, which has its roots in Margaret Thatcher's 1980s privatisation programme, finally falling to expansionist US giant UPS.
Exel shares soared by up to 20% over the past week as speculators took executives at UPS at their word. In a conference call with analysts, UPS bosses were asked whether there was likely to be any merger and acquisitions action.
The reply was yes, in European logistics. And, so the argument goes, if UPS is talking European logistics it is talking Exel.
"In logistics it [Exel] is bigger than anyone else, it is in more places than anyone else and it serves more industries than anyone," says Arbuthnot analyst Alastair Gunn.
Exel is best known in the UK for running the warehousing and delivery of goods for the likes of Marks & Spencer and House of Fraser and delivering to pubs and off-licences via its Tradeteam brand.
The sheer breadth of the company - more than …
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Publication information: Article title: Speculators Take Stock as Well-Oiled Exel Gets Worldwide Attention. Contributors: Not available. Newspaper title: The Evening Standard (London, England). Publication date: February 4, 2005. Page number: 43. © Not available. COPYRIGHT 2005 Gale Group.