JSC Russian Railways, has commenced exclusive negotiations on acquiring 75% of the logistics operator  Gefco from the French automaker PSA Peugeot Citroën, reports  JSC Russian Railways in the official press release.

75 percent of Gefco is estimated into 800 million euros, or about $1 billion. When the deal is completed, Gefco would also pay Peugeot a special dividend of 100 million euros.

JP Morgan and VTB Capital are financial consultants of JSC Russian Railways in the deal.

Western Europe is the main market for Gefco, which guarantees about 75% of the revenue. Latin America and other regions bring the rest of the income. Due to the deal JSC Russian Railways intends to develop an overland freight service between Asia and Europe.