Aramex today unveiled two significant deals to expand its worldwide presence and enhance its e-commerce logistics capabilities.
The Middle East-based group has bought New Zealand-based Fastway Couriers, with operations in New Zealand, Australia, South Africa, Ireland and Northern Ireland, for NZ$ 125 million. Fastway Couriers' global asset-light network includes 63 regional depots and 1,500 courier franchisees in the five markets. With more than 250 franchise partners across New Zealand alone, the company transports 16 million parcels globally to 75,000 customers each year.
Aramex CEO Hussein Hachem said: “We are excited to add Fastway Couriers to Aramex’s global network. The company has a strongly performing business, a well-recognised brand, a leadership position in the Asia-Pacific market, an excellent management team and large global customer base.
“Following our recent deals in Thailand and Australia last year, acquiring Fastway Couriers is the next logical, strategic move for us. Having scalable synergies with our own infrastructure and extending our reach across the region, the acquisition now makes us present in New Zealand for the first time and strengthens our existing operations in Australia. Enhancing and expanding our operations in the region also allows us to further contribute to the development of Asia-Pacific’s e-commerce sector and facilitate cross-border trade.”
Othman Aljeda, CEO of Aramex Asia, added: “This deal gives us significant opportunities to expand our e-commerce proposition and take advantage of the increasing demand for online shopping delivery solutions and small parcel delivery services in the Asia-Pacific. New Zealand and Australia are two of the most rapidly growing e-commerce markets in the region and by acquiring Fastway Couriers we can now serve more businesses and consumers shopping online. Extending our operations to New Zealand and enhancing our existing business in Australia also strengthens our wider Aramex global network.”
Bruce Speers, Group Managing Director of Fastway Limited, said: “We are very proud of our company and what we have built up over the past 32 years, maintaining a strong brand and loyal customer base. The investment we have made in the company and our successful focus on providing low costs, optimal delivery times and extending our reach globally has resulted in significant growth for our business and brand. The recent spike in online shopping has also increased our consumer base and demand for our services considerably, positively impacting our reputation in the market as we continue to maintain the highest levels of customer service. This acquisition allows our customers to benefit from Aramex’s global network, international expertise and scale, while still being able to enjoy our personalised, tailored services.”
Aramex said the acquisition strengthens its Asia-Pacific proposition and global footprint, building on the company’s owned operations in Singapore, Malaysia, Indonesia, Hong Kong, China and Australia, and helps facilitate smooth cross-border movement across the region.
In the second deal, Aramex is buying a 25% stake in WS One General Trading LLC (WS1), a UAE cross-border parcel consolidation service provider operating out of Ohio, in the United States, for AED 9 million. Fast-growing WS1 consolidates US outbound packages at its warehouse and ships them as low-cost consolidated freight to customers in over 20 countries by using global courier partners.
Hachem commented: “WS1 is an excellent strategic fit for Aramex, with scalable synergies with Aramex’s own global infrastructure. It complements our existing international shipping service, Shop and Ship, and presents opportunities for us to further expand our e-commerce proposition. We are confident that the agreement will help grow our B2C business by connecting more online shoppers directly to e-tailers in the US.”
Tariq Khoshhal, the Chairman of WS1, said: “We are very proud of the business we have built up so far. The investment we have made in the company to provide value add services, optimal delivery times and extend our reach globally has resulted in significant growth for our business and brand. Following the deal, we will continue to deliver happiness to our customers through the benefit of Aramex’s global extended network, international expertise and scale, while still being able to enjoy our growing personalised, tailored services.”
