- 24 December 2021
- Transport / Logistics Services
Global shipping giant AP Moller-Maersk has agreed to buy pan-Asian logistics company LF Logistics for a reported $3.76 billion.
The all-cash deal is seen as an opportunity to provide fully integrated logistics across the Asia-Pacific region.
As well as the initial payment, the Danish shipper has agreed a $160 million earn-out provision that will be paid to the sellers Li & Fung and Temasek Holdings based on the company’s future performance.
Hong Kong based LF Logistics has 10,000 employees across 223 warehouses in 14 countries, and will allow Maersk to scale up its omnichannel offerings where logistics are handled for multiple sales channels.
According to Maersk CEO Soren Skou, the Omnichannel capabilities will be scalable outside of the Asia-Pacific region and will be a foundation for future growth in Europe and potentially North America.
“The acquisition of LF Logistics is an important and truly strategic milestone on our journey to become the global integrator of container logistics,” Skou said.