[SG Holdings Global] SG Holdings Global to buy Phat Loc Express, Vietnam's major delivery service company. (12/5/2016)
SG HOLDINGS GLOBAL PTE. LTD. (headquarters: Singapore, President: Tomoki Sano), the overseas headquarters of SG Holdings Group, concluded the share transfer agreement towards the buyout of Phat Loc Express and Trading Joint Stock Company (headquarters: Hanoi, Vietnam, "Phat Loc Express"). Phat Loc Express has nation-wide delivery network and logistics business in the entire country. With this purchase, SG Holdings Global can expand not only it's customer base, but also enhance its delivery and logistics business in Vietnam.
In its mid-term business plan (216-218), SG Holdings Global has defined the tie-up with a local company as the key to strengthen its business foundation in the delivery business. In Vietnam, the M&A is viewed as necessary and an effective means to enhance its own business function.
Phat Loc Express domestic delivery businesses to supermarkets, convenience stores, and logistics business (warehousing ･ shop delivery) is located in all 63 provinces of the country. Through the buyout of Phat Loc Express, SG Holdings Global can build stronger network base nationwide by combining Phat Loc Express's powerful local distribution network (about 6,000 local companies) and create a beneficial synergy, thereby developing logistics solutions for retail businesses.
This acquisition will make Sagawa Express Vietnam･SG Sagawa Vietnam, the Vietnamese subsidiary of SG Holdings Global, become Vietnam's 4th largest delivery service company. With the expansion of the business, we further to aim to become the top 3 largest delivery service company by 2020. The biggest challenge in logistics in Vietnam is the provision of quality service. By providing our Japanese know-how to boost the quality of service and positive experience, we aim to differentiate ourselves from competitors. SG Holdings group will aim to become a comprehensive logistics services company through the provision of No.1 quality nationwide.
Outline of Phat Loc Express
|Company Name||:||Phat Loc Express and Trading Joint Stock Company.|
|No. of Employees||:||about 1,200|
|Subsidiaries||:||2 Hubs, 62 branches (covering all 63 provinces in Vietnam)|
|Business Activity||:||Domestic Courier, Trucking, Warehousing, Customs Clearance, B to C delivery, etc.|