Kuehne+Nagel Shares Leap 5.42% on Amazon Pact

Kuehne+Nagel shares surged on Monday after the logistics group announced a long-term agreement with Amazon. The stock price jumped 5.42% to CHF227.40, clearing its previous 52-week high.

The pact covers Amazon Web Services infrastructure from construction through maintenance and expansion over a period of up to seven years. However, management declined to disclose the contract value or the size of the related call option.

Amazon received a call option on existing Kuehne+Nagel shares, which may be settled in cash or shares after commercial milestones are met over the next seven years. The logistics group has hired a financial institution to hedge this obligation.