Kerry Logistics sees opportunities in North America with APEX acquisition

Today Hong Kong-based logistics provider Kerry Logistics completed its acquisition of a 51 percent controlling stake in California-based, full-service freight forwarder, APEX Maritime. Although APEX’s strength is in oceanfreight, with 270,000 TEUs handled in 2015, the deal also has broader implications for Kerry’s airfreight forwarding operations, and expansion into the U.S. market through its increased North American footprint.

In addition to ocean operations, Kerry’s US$87.9 million acquisition of APEX enhances its end-to-end logistics solutions offerings across trans-Pacific lanes. APEX’s Starlink airfreight division has five offices across the United States and is a key agent of Taiwan-based carriers, EVA Air and China Airlines. Other APEX divisions handle customs brokerage and see consolidations through to last-mile delivery across the U.S. APEX also operates three warehouses that offer more than 31,000 square meters of space.

William Ma, group managing director of Kerry Logistics, said, “The acquisition of APEX is a major leap forward in our global expansion plan. The Asia-U.S. trade plays an important role in our IFF [international freight forwarding] growth strategy, and APEX will form an important business arm that further strengthens our global network, enabling us to tap into new opportunities from trans-Pacific trades.”

“We are ready to take full advantage in realizing vast cross-selling opportunities from the integration,” added Vic Cheung, CEO and president of APEX. “Our customers will gain global scale and best practices in supply chain management, while maintaining their relationship with the same team that has served them for years.”

Recently, Kerry Logistics has been fortifying its global network through acquisitions and joint venture agreements afar in Canada, Dubai, Indonesia and Myanmar. Earlier this year, Kerry told investors it had identified additional acquisition targets in Singapore and the Philippines.