TDG's French link
Page 9
If you've noticed an error in this article please click here to report it so we can fix it.
Transgo
• The Transport Development Group is linking up with OSTRA, its French subsidiary, to produce an Anglo-French parcels distribution network next year — and there are plans to eventually include more of mainland Europe too.
Although OSTRA has so far been more forthcoming about the setting up of the crosschannel network, '[DC has confirmed that operations will begin before the end of 1987.
David Allen, managing director and chief executive of Tuffnells and Independent Express — TDG's UK parcels companies — says: "It's still early days, It will be the middle to the back-end of next year before some trading can commence."
..TDG, and certainly Tuffnells, wants to strengthen its links with the French parcels company" he says.
According to Allen, how ever, it is too soon to suggest that Independent Express might be working more closely on national parcels distribution, leaving international parcels carriage to Tuffnells. He also says that there is no intention to merge the two companies.
In France, the international and national parcels network has been given the name of Transgo. OS'I'RA has already bought six companies at Paris, Bordeaux, Toulouse, Lyon, Rouen and Lille in a move to set up the Transgo network, which will be connected to the British parcels network through Tuffnells Parcels Express.
The Transgo network will initially be based on three OSTRA subsidiaries. They are Baillivet, which has depots in Lille, Rouen and Paris; Transports A Berthet based at Lyon and Jim Fret — a Bordeauxbased parcels carrier which was brought recently by OSTRA, along with bulk operator Roger Lhuillery et Fils of Dreux, for around £700,000.
Transgo president Michael Fareng tells CM that there is no strict limit on funds to buy the right companies to complete the Transgo network in France.
The TDG/OSTRA plan is to have the cross-Channel parcels trade operational this year, and to consolidate the position in 1988. In 1989 Transgo will be looking to extend into Germany, and/or the Benelux countries, and future acquisitions in these areas will be funded either by TDG or OSTRA, Fareng says.