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Menlo Worldwide to buy 3PL Cougar Holdings & Cougar Express for US$34m
POSTED: 8:58 a.m. EDT, June 12,2007
Menlo Worldwide will acquire logistics firm Cougar Holdings Pte Ltd, and its subsidiary Cougar Express Logistics for US$33.9 million. The purchase price includes a payment of $28.2 million in cash and the assumption of $5.7 million in debt.
The announcement comes after Cougar Logistics Corporation Ltd, which owns logistics operations in Singapore and South East Asia, and Menlo Worldwide, the global logistics subsidiary of Con-way Inc., signed a definitive agreement.
Cougar Express is a southeast Asian freight forwarding, warehousing, logistics and distribution management company with personnel, facilities and operations in Singapore, Malaysia and Thailand. Established in 1986, the Singapore-based company covers 12 operating locations in the region with a client base of nearly 200 Asian and global businesses, employing 320 staff and managing 2.4 million square feet of warehouse space. In its most recent fiscal year, Cougar Express recorded US$23 million in revenues, a joint statement said.
"We are excited to become part of the Menlo Worldwide organisation," said Heinz-Peter Faust, CEO of Cougar Express. "The synergies between the domestic distribution business and the contract logistics business across a greater geographical sphere offer significant opportunities for development. With the resources of Menlo, we will accelerate our growth and offer our customers an expanded regional service portfolio in Asia as well as access to Menlo's extensive global capabilities."
"This acquisition is an excellent fit for Menlo, expanding our footprint in this important region with a successful logistics company that's complementary in every respect," said Robert Bianco, president of Menlo Worldwide. "Cougar has a loyal customer base, talented employees with proven expertise, a track record of growth and solid market share. We're gaining new capabilities that enhance our presence in Singapore and expand the value and breadth of services we can offer to customers throughout Asia."
The acquisition is subject to clearance by regulatory authorities, and the approval of Cougar Logistics Corp.'s shareholders. The companies expect the transaction to close within 90 days. |
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