Singapore Post unit to buy Australia-based distribution firm Border Express (updated)

Singapore Post

01/11/2023 05:09

(Adds details on acquisition in paragraphs 2-5)
       Nov 1 (Reuters) - Singapore Post  SPOS.SI  said on
Wednesday its Australian unit entered an agreement to acquire
transport and distribution services company Border Express for
not more than A$210 million ($132.93 million) to expand its
logistics network in Australia.
    The company, which is also known as SingPost, is making the
acquisition via its 88%-owned Freight Management Holdings (FMH).
SingPost also said that it has reached an agreement with FMH's
remaining minority shareholders to take full ownership of the
company.
        With the acquisition of Border Express, FMH's revenue is
expected to exceed S$1 billion ($730.09 million), SingPost
added.
  
    The transaction will help further expand SingPost's
logistics network in Australia, where the logistic market is
estimated to be worth more than A$120 billion, it said. 
        Border Express has a network of 16 facilities in
Australia with a fleet of over 700 vehicles and workforce of
1,300, according to the statement.
  

($1 = 1.5798 Australian dollars)

($1 = 1.3697 Singapore dollars)

 (Reporting by Himanshi Akhand in Bengaluru and Yantoultra Ngui
in Singapore; Editing by Mrigank Dhaniwala and Eileen Soreng)
 ((Himanshi.Akhand@thomsonreuters.com;))