EV Cargo has acquired Netherlands-headquartered Fast Forward Freight in a move that will more than double the firm's annual airfreight volumes.
The company - owned by Hong Kong-based private equity firm EmergeVest - said that the acquisition is part of its previously announced corporate strategy to expand its worldwide footprint and grow its freight forwarding and supply chain services business.
As part of the transaction, EV Cargo has become the sole shareholder of Fast Forward Freight (and its trading subsidiaries), with the current owners of Fast Forward Freight becoming shareholders of EV Cargo.
The deal adds more than $170m of revenue to EV Cargo, resulting in pro forma combined revenue of approximately $1.7bn, and grows EV Cargo employees to more than 2,600 globally and tripiling its European workforce to more than 400 people.
In terms of airfreight, the move will more than double EV Cargo's volumes to over 100,000 tonnes.
In terms of locations, EV Cargo will "significantly" increase its presence in the Netherlands, Belgium, France, Germany and UK, as well as expansion into Greece and Switzerland
Fast Forward Freight will be rebranded as EV Cargo and operations will merge.
Heath Zarin, founder and chief executive of EV Cargo, said: “Fast Forward Freight shares our commitment to providing innovative technology-enabled solutions and has a strong history of providing supply chain control towers to its customer base of world leading brands. This transaction helps us grow the EV Cargo global network, adding excellent colleagues, capabilities and customers."
Marc Terpstra, founder and chief executive of Fast Forward Freight, added: “EV Cargo is focused on providing an innovative technology platform, blending proprietary and industry leading technology based on a deep understanding of its customers. Fast Forward Freight shares this same focus. Our combination with EV Cargo will provide increased opportunities for our people and expanded solutions for our customers."
On customer base, the deal adds "several thousand customers" to EV Cargo across strategic industry verticals, such as automotive, aerospace, marine engineering, oil & gas, pharmaceuticals and retail.
Earlier this year Air Cargo News sister title Motor Transport reported that EmergeVest is working with a financial advisor to look at the possibility of selling its UK subsidiary EV Cargo, following a surge in investor demand in the logistics sector, according to sources.
The review could lead to a sale or an initial public offering (IPO) of the business, and could be valued at over £1.11bn, the sources told US news channel Bloomberg.
EmergeVest is also considering potential listing venues for EV Cargo, including London and New York, according to the report. However the sources also said that the owner could decide to retain the business for longer.
