Germany-based mail and logistics company Deutsche Post said its DHL unit reached an agreement to acquire Flying Cargo International Transportation, the international freight forwarding unit of the privately owned Flying Cargo Group, based in Tel Aviv, Israel.

DHL Global Forwarding will acquire 100 percent of the business.

It has been agreed not to disclose financial details.

The transaction is subject to regulatory approval and is expected to be closed in the next few weeks. The management of Flying Cargo International Transportation will remain unchanged for at least the next two years.

In Israel, Flying Cargo International Transportation is the market leader in air and ocean freight and has been the agent of DHL Global Forwarding in the country for many years.

The acquisition enables DHL Global Forwarding to establish a strong presence in the Israeli International Forwarding market.

The company considers the acquisition a selective move, as Israeli trade growth is strong and Flying Cargo International Transportation provides a solid customer base in highly attractive sectors, like Healthcare and Electronics.