DP World announced that it successfully concluded its 100% acquisition of South African transport and logistics group, Imperial Logistics in a R12.7 billion (US$883 million) deal.
The multinational logistics company earlier noted that the deal would enhance its capabilities along supply chains as well as push forward its plan to transform into a logistics solutions provider. It will also expand its presence in Africa with Imperial Logistics' operations mainly across the African continent and in Europe.
"Imperial Logistics Limited (Imperial) and DP World Logistics FZE (DP World) are pleased to advise that all conditions precedent regarding DP World's offer to acquire a 100% stake in Imperial, including regulatory approvals, have been fulfilled. The transaction is now unconditional and will be implemented on 14 March 2022," DP World said in a statement.
Mohammed Akoojee, Imperial's Group CEO, welcomed the acquisition saying that it will be "value-enhancing" for the company and its stakeholders noting that this deal will enable Imperial "to build on our ‘Gateway to Africa’ strategy and growth ambitions."
"Combining DP World's world-class infrastructure, specifically its investment and expertise in ports on the African continent, with Imperial's logistics and market access platforms will enable us to offer integrated end-to-end solutions along key trade lanes into and out of Africa, also driving greater supply chain efficiencies, and ultimately enhancing value for all stakeholders," Akoojee said.
Significant value-added to DP World
DP World noted that the acquisition is expected to also add "significant strategic value to DP World" given Imperial's attractive footprint and strong market access and logistics solutions capability.
It said Imperial's business strongly complements DP World's existing footprint in Africa and Europe and will allow DP World to deliver a fully integrated end-to-end solution across a wider market.
"We are excited to conclude our acquisition of Imperial, which has a significant presence in Africa, a market where trade is expected to grow at more than twice GDP driven by population growth, accelerated urbanisation and rising middle classes," commented Sultan Ahmed Bin Sulayem, group chairman and CEO of DP World.
"Imperial’s capabilities in market access and logistics and its extensive African and European footprint will complement and enhance our growth aspirations."
DP World noted that as a consequence of this transaction, the Delisting of the Imperial’s Ordinary Shares from the Main Board of the securities exchange operated by the JSE will be implemented on March 25, 2022.
