TNT announced today it is in the process of acquiring China’s leading freight and parcelstransportation operator, Hoau Logistics Group, based in Heilongjiang. The deal is expected tobe completed in the course of next year. Both companies have signed a Letter of Intent for thispurpose.
Through this acquisition, TNT will become the largest privately owned transportation networkfor freight and parcels in China. TNT already operates the largest distribution infrastructure inChina with 140 operating facilities, covering 2.4 million square metres of warehouse space across600 cities.
Peter Bakker, CEO of TNT, said: “The acquisition being negotiated will be a significant stepin our China strategy. It will help us realize our ambitions to build the largest domestictransportation network for freight and parcels. In addition, through this acquisition, we hope tomake greater contributions to China’s economic growth.”
“Hoau has a solid reputation as the nation’s leading transportation operator. TNT will be ableto connect Hoau’s established road transport network with its own global network. Through thiscombined network, TNT will be able to further strengthen its services for the benefit of bothinternational and domestic customers who need reliable and efficient access to the Chinese market,”said Ken McCall, CEO of TNT China.
Wang Zhenhua, President of Hoau said, “Over the past 10 years, Hoau has built a strong andgrowing position in China’s domestic transportation. With increasing economic globalization, Hoauneeds to move to the next level of development to benefit our employees. I am pleased that TNT willhelp us make the next leap forward.”
Established in 1995, Hoau today has the densest privately owned road network in the countryand is currently one of the market leading transportation companies for freight and parcels servingmanufacturing as well as other type of clients. Hoau’s network serves over 160,000 customers,dealing with various sectors like FMCG, Components, Appliances, Pharma and High Tech.
It has over 1,100 hubs and depots across China covering all major and second-tier cities witha service fleet of over 3,000 trucks and 12,000 employees. Hoau has been granted the rating of “AAAAA”, the highest category for the transportation industry in China, and its founder and currentpresident, Mr. Wang Zhenhua, has received the honor of “China’s Most Influential Entrepreneur andBusiness Leader” in the transportation industry.
Hoau will greatly strengthen its capability and leading position in China’s transportationindustry via TNT’s injection of resources, network expertise and advanced IT systems. Rated as oneof the best employers in China, TNT is committed to stability and further development of Hoau’smanagement team and employees.
TNT China is the Chinese branch of TNT Group. TNT China provides integrated business solutionsthrough three main business sectors – Mail services, Logistics and Express. These services coverdirect marketing solutions, door-to-door delivery services and supply chain management. TNTcurrently employs over 4,500 skilled professionals across its distribution infrastructure of 140operation facilities across 600 cities in China. TNT China has developed over 2,000 servicestations and currently operates seven gateways in China which includes: Beijing, Shanghai,Guangzhou, Dalian, Hangzhou, Xiamen and Shenzhen. By joining with Shanghai Automotive Logistics Co.to form Anji–TNT Automotive Logistics Co. Ltd., TNT China has become the largest third-partyautomotive logistics provider in China.
