Following hot on the heels of its recent acquisition of U.S. e-Commerce logistics firm Jagged Peak for US$15.8 million, SingPost last week added another U.S.-based company to its portfolio with the purchase of e-Commerce provider TradeGlobal for US$168.6 million.
In a statement, SingPost said that its indirect wholly owned subsidiary, TG Acquisition Corporation, will acquire 96.3% of TradeGlobal Holdings from TradeGlobal Parent LLC, which is owned by the
private equity firm, Bregal Sagemount. The company serves leading fashion, beauty and lifestyle brands in the U.S.
Singapore's postal operator said that with this acquisition, its clients in the Asia-Pacific can expand their businesses into the U.S., while TradeGlobal's customers will have access to the fast growing e-Commerce market in the region.
SingPost chief executive officer Dr Wolfgang Baier said the acquisition will continue the transformation of the company and turn it into a global e-Commerce player covering two-thirds of the geographical market.
"It is connecting the dots to become a digital company. We are a global player," he said, adding that about 28% of the company's current revenues are derived from e-Commerce. The new acquisition will mean that the combined company will handle US$3 billion worth of goods in their operations.
Asked if SingPost was eying further acquisitions in the e-Commerce market, Dr Baier said that the focus for the company now is on integration and offering customers an expanded network.
Nol van Fenema