Taiwan-based global logistics company, Dimerco acquires a 25 per cent stake in ITG Air & Sea, to form a joint venture with the German forwarding unit of Sweden’s Elanders.
Dimerco also has the option to increase its stake to 49 per cent after two years. The joint venture between Elanders and Dimerco is subject to the approval of the anti-trust authorities and has a planned closing date of 1 January 2020.
ITG Air & Sea will continue to be managed by ITG and its parent company Logistics Group International. All business support functions such as Human Resources and Accounting will remain within LGI. ITG Air & Sea in 2018 had a turnover of some EUR 74 million.
“We see enormous potential in the spin-off of our air and sea freight forwarding business and the cooperation with Dimerco,” says ITG managing director Holger Funk. “In the new constellation, ITG will be able to concentrate even more on its core competencies in the air and sea freight sector.
“ITG’s parent company LGI Logistics Group International (LGI) can thus offer even better integrated logistics solutions in the sector Fashion & Lifestyle,” Funk says.
In addition, the joint venture with Dimerco will increase growth opportunities and enable even better penetration of the Asian market, as well as increased negotiating powers with suppliers, Funk adds.
Dimerco is a public company, listed on the Taipei Exchange (TPEx) in 2001. The company has a global network with extensive marketing & sales outlets in China and Asia Pacific and key complementary operations in Europe and North America, in total covering 160 business locations in 16 countries generating USD 611.84 million in gross revenue in 2018.
Dimerco says its business growth strategy focuses around the supply of far-reaching international logistic services by means of channel globalisation, product diversification, operation optimisation, information centralisation and operation localisation, as well as applications of Internet of Things (IoT) and construction of tangible and virtual channels.