HONG KONG's Kerry Logistics has announced it will acquire a 70 per cent of Dubai forwarder Able Logistics Group for US$32 million, reports Citi Transport Research of Hong Kong.
Earlier Dubai's Growthgate Capital announced it had sold its 70 per cent to Singapore's Kerry Freight Services (South Asia) Pte Ltd, a wholly owned subsidiary of Kerry Logistics Network.
"We believe the deal will likely close in 1Q15 and will contribute four per cent to next year's core net income, reflecting Able's FY13 net income of US$6 million on a 100 per cent basis plus 20 per cent year on year, said Citi Transportation Research vice president Michael Beer..
Kerry will enhance operations in the Middle East as well as integrate their existing operations in Hong Kong. Able employs some 300 people. Mr Beer allso said he expect news of other Kerry acquisitions in Canada and Indonesia soon.
Kerry Logistics Network, the owner of Singapore-based Kerry Freight Services has a market capitalisation of US$2.6 billion .
Growthgate first invested in Able in 2007, when operations were limited to the UAE and few Asian destinations. Today the company operates in Dubai, Sharjah, Oman, Saudi Arabia, Afghanistan and Hong Kong.
"This is a great development for Able, as Kerry is the best strategic partner to take the company forward," said Growthgate Capital general manager Karim Souaid.
"Able has delivered outstanding growth quarter after quarter. Starting from scratch, the company has gained a significant market share of the corporate logistics and freight forwarding market in little over 10 years, in a highly competitive and concentrated context," he said.
WORLD SHIPPING
05 January 2015 - 20:38
Hong Kong's Kerry acquires 70pc of Dubai forwarder, Able Logistics
HONG KONG's Kerry Logistics has announced it will acquire a 70 per cent of Dubai forwarder Able Logistics Group for US$32 million, reports Citi Transport Research of Hong Kong.
WORLD SHIPPING
05 January 2015 - 20:38
Hong Kong's Kerry acquires 70pc of Dubai forwarder, Able Logistics
This news 6907 hits received.
These news may also interest you