SingPost subsidiary to acquire Australia’s Border Express

Freight Management Holdings, part of Singapore Post (SingPost), has agreed to acquire Border Express, the sixth largest national transport and distribution service provider in Australia.

With a network of 16 facilities, a fleet of more than 700 vehicles and a dedicated team of 1,300 employees, Border Express has proven itself to be a reliable partner to 3,000-plus clients from across industries including large retail and consumer brands.

Upon completion, Border Express will join the transportation companies held under the FMH Group umbrella, GKR Transport, Niche Logistics, BagTrans, Formby Logistics and Spectrum Transport.

Over the past three years, SingPost has expanded its operations in Australia with the FMH Group and CouriersPlease.

This transaction is reported to align with SingPost’s strategic ambition to expand its logistics network and foster synergy within its Australian operations to deliver enhanced value to its customers and partners.

In addition to this transaction, SingPost has reached agreement with the remaining minority shareholders of FMH to take its ownership to 100 per cent.

The Australian integrated logistics market, according to FMH, is estimated at over $120 billion AUD. With the acquisition of Border Express, the revenues of the enlarged FMH Group are expected to exceed $1 billion SGD.

“FMH Group has built a sustainable integrated logistics business in Australia,” said SingPost Group Chief CEO, Vincent Phang.

“This acquisition is immediately accretive to earnings, solidifies FMH as a leading logistics provider, and continues the growth and development of our Australian operations. We look forward to welcoming Border Express to the FMH Group and SingPost Group family.”

Simon Slagter, FMH Group Group CEO, added: “Border Express is a highly-regarded transportation provider throughout Australia. Upon completion, the acquisition will support FMH Group to realise the vision of a new logistics ecosystem where people and physical assets are connected through a ubiquitous technology platform, enabling true supply chain efficiency.”

Border Express Executive Director Transformation, Mark Luff, said: “We are excited to embark on this new chapter as we enter into a conditional agreement with FMH Group. Joining forces with FMH Group will provide us with access to an extensive network, cutting-edge technology and resources that will enable us to serve our customers even better and expand our reach even further.”

The transaction is subject to relevant statutory approvals and other closing conditions.

SingPost, founded in 1858, is a postal and e-commerce logistics provider in Asia Pacific. Its portfolio of businesses ranges from national and international postal services to warehousing and fulfilment, international freight forwarding and last mile delivery, serving customers in more than 220 global destinations.

Headquartered in Singapore, SingPost has more than 4,900 employees, with offices in 13 markets worldwide.

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