CEVA Logistics will learn tomorrow whether its acquisition of EGL Inc will go ahead as shareholders of the Texas-based global freight forwarder cast their vote.

There is little doubt that the US$2 billion acquisition will be approved. CEVA Group, a company owned by affiliates of private equity firm Apollo Management, increased its initial offer by almost 25 percent to $47.50 per share.

Colin Moran, CEVA Logistics managing director, Asia, is eagerly awaiting the expanding of the Asia network that will accompany the US outfit.

“With EGL, we will get a value proposition that takes us from a
stand-along logistics company to an end-to-end supply chain management entity,” he told Cargonews Asia in Singapore today.

“EGL has a large geographical footprint in Asia that enables us to
accelerate growth in contract logistics and in new markets.”

CEVA has no representative offices in Japan, Vietnam, Philippines and Korea, but with EGL on board, the company will instantly have a presence in those countries.

With an annual turnover of almost $5 billion, CEVA employs 38,000 people and operates over 7.4 million sq m of warehouse space across 26 countries, including the Asia Pacific region of Australia, China, Singapore, Malaysia, Thailand and Indonesia.