Dutch group taking over shipping business for P5b

CEBU-BASED Aboitiz Equity Ventures Inc. has agreed to sell its entire shareholdings in its listed transport firm to KGLI-NM Holdings Inc. for P5 billion, signaling its exit from the transport and logistics business.

KGLI-NM is a 60-40 joint venture between Negros Holdings and Management Inc., the holding firm of Negros Navigation Co. and Dutch company KGL Investments BV.

Aboitiz Equity told the stock exchange that it had accepted KGLI-NM’s unsolicited offer to buy out Aboitiz Transport System Corp., operator of the SuperFerry vessels and the Philippines’ largest passenger and cargo shipping firm.

Aboitiz Transport also operates an express delivery service and a cold storage chain.

KGLI-NM will acquire Aboitiz Equity’s 77.1 percent and Aboitiz and Co.’s 15.9- percent stake in Aboitiz Transport based on its equity value of P2.022 a share, or a total of P5 billion.

Aboitiz and Co. is the Aboitiz family’s private holding firm and is the largest shareholder in Aboitiz Equity.

If the deal goes ahead, KGLI-NM will make a tender offer for the shares owned by minorities at the same terms offered to Aboitiz Equity and Aboitiz and Co.

“Except for the joint venture business in ship management, manning and crew management, and bulk transport of the Aboitiz group with Jebsen Group of Norway, the planned acquisition will include all shipping and logistics businesses of [Aboitiz Transport System],” Aboitiz Equity said.

Aboitiz Transport started in business on May 26, 1949, when it put up William Lines Inc., a passenger and cargo shipping company based in Cebu.

In 1995 the company consolidated its resources and expertise with Carlos A. Gothong Lines Inc. and Aboitiz Shipping Corp., two other Cebu-based companies, and that gave rise to William, Gothong & Aboitiz Inc. or WG&A.

In 2002 the Aboitiz group acquired the combined holdings of the Chiongbian and Gothong Group and then changed its transport firm’s corporate name to Aboitiz Transport from WG&A.

Aboitiz Transport operates eight vessels and sails to 15 ports of call.

The company reported a net income of P16.8 million for the six months to June 2008, down from P366.6 million in the same period last year as a result of skyrocketing fuel prices.

But revenues rose 9 percent to P6 billion from P5.5 billion after freight receipts, the bulk of the company’s revenues, climbed 12 percent to P3.7 billion.

KGL Investments started investing in port and logistics businesses in the Philippines when it set up an air transport logistics complex in Clark Field, Pampanga.

Later, KGL Investments, through KGLI BV, invested in Negros Navigation by putting up KGLI-NM Holdings Inc.

Metro Pacific Investments Corp. had previously owned Negros Navigation before it decided to sell its 83.7-percent stake in the shipping firm to Negros Navigation Holdings, a company owned by the members of Negros Navigation’s present management, in 2006.

Ceva signs deal to buy Varan Kargo

Ceva Logistics Turkey, part of the global logistics giant Ceva, has signed an initial agreement to acquire Turkey's Varan Kargo for an undisclosed sum yesterday.

“Varan is the first logistics firm in Turkey, and also so far the most established in its field. The firm's name is also well-known in the country, which is important,” said Aslan Uzun, managing director of Ceva Logistics Turkey.

Ceva, owned by international private equity investor, Apollo Management, is the world's fourth largest supply chain management company. The firm's Turkish branch was established in 2000 as TNT Logistics, and today employs some 400 people and has 200,000 square meters of storage space. Ceva employs more than 54,000 people in more than 100 countries globally.

DB Schenker to buy Romanian firm

DB Schenker is aiming to acquire the entire shares in Romanian forwarder S.C. Romtrans, and has submitted a takeover bid to the Romtrans shareholders today through its Austrian subsidiary Schenker and Company.

The deadline for acceptance of the bid is the end of October.

Subject to the approval of the authorities, the transaction should be completed by December of this year.

This acquisition is expected to consolidate the leading position of the Deutsche Bahn transportation and logistics division, which operates worldwide under the DB Schenker brand.

Tuscan Ventures acquires 40 per cent stake in Singapore firm

MUMBAI : Mumbai-based logistics company, Tuscan Ventures on Sunday said it has picked up a 40 per cent stake in Singapore-based Rasmussen & Simonsen International (RSI) for an undisclosed sum.

The investment will allow RSI to fund its global expansion plans.

This include setting up a dedicated office in India and other growing markets such as China and Middle East, Tuscan's Managing Director, Vishal Sharma said in a release here.

"The global shipping and logistics industry will need to recruit and train 500,000 professionals over the next decade. As the industry shifts its focus to technology, a well trained work force will emerge as the true competitive advantage," Sharma said.

RSI's product offerings include customized and off-the-shelf instructor-led training programs and e-learning modules developed specifically for the industry.

Tuscan Ventures has offices in Mumbai and Singapore and has 40-years of in-house experience in the global maritime and logistics sector.

Matson Acquires Pacific American

Matson Global Distribution Services, a subsidiary of Matson Integrated Logistics, completed the acquisition of Pacific American Services, a regional, asset-light warehousing, packaging and distribution company specializing in value-added handling of domestic, import and export goods.

The acquisition adds nearly 1 million square feet of warehousing and distribution space to Matson's Northern California network and provides a West Coast complement to Matson's recent 700,000 square-foot expansion of its facilities on the East Coast in Savannah, Georgia.

Based in San Leandro, Calif., in the San Francisco Bay area, PACAM serves hundreds of local, national and international customers and has extensive industry expertise in handling high value goods in the food and beverage, high tech and consumer packaged goods sector. The company is ISO 9001-2000, organic and FDA certified and an approved Foreign Trade Zone facility.

"PACAM provides Matson Global with an excellent opportunity to further develop our distribution capabilities for a diversified customer base," said Brian K. Howver, vice president and managing director for Matson Global.

Agility Acquires Geopetrol in Canada

Leading logistics provider expands its presence in the international oil and gas industry with latest acquisition

Agility, a leading global logistics provider, today announced the acquisition of Geopetrol International Limited, a top freight forwarding and logistics company specializing in the Canadian oil and gas market.
Geopetrol's range of services include all aspects of freight forwarding, including air, ground, sea freight, customs clearance, and warehousing. The company has a special focus on project logistics, including heavy lift and oversize cargo shipments, as well as other specialized project forwarding services for the Canadian oil and gas industry.
With offices located in Edmonton and Calgary, Alberta, and St. John's, Newfoundland, Geopetrol has a strong customer base throughout the country. These locations now add on to Agility's network of over 550 worldwide offices and 32,000 employees.
"Geopetrol is a strong addition to Agility's operations in Canada and contributes the necessary talent and expertise we require to expand our oil & gas and project cargo offerings," said Mark Soubry, Chief Executive Officer of Agility Canada. "This acquisition gives us strategic capabilities to tackle the growing opportunities within Canada and into other international oil and gas markets," he said.
Customers will greatly benefit from the combined synergies of the two companies, according to Larry Weischwill, SVP Americas of Agility Project Logistics.
"Strengthened operations will offer customers better services and solutions through Agility's extensive global network and focus on personal service," he said.
"It is a pleasure for us to be a part of the huge Agility network," said Ron Hedlund, President, Geopetrol, in Edmonton. "Their geographic reach and broad portfolio of services will be of great advantage to Geopetrol, while our specialized services and the niche market will indeed be an additional asset to Agility worldwide."