German Postal Service Buys Stake in DHLDeutsche Post World Net completed the purchase of the 24.4 percent of express delivery service DHL International Ltd. that it didn't already own, Deutsche Post said yesterday.
The purchase costs more than 400 million euros ($396 million) and consists of 23 percent from Chester Investment and Exeter Investment and 1.4 percent from Japan Airlines Systems Corp.
In July, Deutsche Post bought Lufthansa AG's 25 percent stake in DHL for $595 million, raising its DHL holding to 75.6 percent.
The acquisition comes as Deutsche Post, Germany's postal service, begins a reorganization centering on the Brussels-based express delivery firm.
Deutsche Post's reorganization, which aims to boost profit 40 percent by 2005, involves integrating DHL, logistics company Danzas and Deutsche Post Euro Express. Under the program, DHL will become the single brand for the express delivery and logistics businesses. The one-brand policy, the company said, aims to save money by streamlining purchasing, standardizing accounting and back-office operations and using transport capacities more efficiently.