CJ Logistics acquires W98b stake in Vietnam's Gemadept
PUBLISHED :October 10, 2017 - 14:07
UPDATED :October 10, 2017 - 16:32
[THE INVESTOR] CJ Logistics has acquired a major stake in two shipping and logistics subsidiaries under Gemadept Corp., Vietnamese biggest logistics company, the company announced on Oct. 10.
The logistics arm of food and entertainment conglomerate CJ Group, formerly known as CJ Korea Express, said in a regulatory filing that it has bought a 50.9 percent stake each in Gemadept Logistics Holding and Gemadep Shipping Holding.
Founded in 1990 as a state-owned company, Gemadept was one of among the first to become privatized. It owns a dozen subsidiaries in port operation, logistics, rubber plantations and real estate. In 2016, its annual revenue stood at US$162 million won.
The deals are estimated to be worth 97.8 billion won (US$85 million), according to the filing. CJ will set up a special purpose company formed of undisclosed financial investors, and will invest 70 percent in it.
The latest stake acquisition comes after CJ Logistics CEO Park Geun-tae on Sept. 25 said the firm was interested in acquiring logistics firms in Southeast Asia to become one of the top five global firms.
It has already acquired a slew of Chinese and Southeast Asian logistics companies including Malaysia’s Century Logistics and China Shenzen Speedex Commercial Service.