DP World, is all set to complete the takeover of the major logistics company J&J group and it is said to be official soon
One of the top global suppliers of smart logistics, DP World, said today that its core unit, Imperial Logistics, has completed all the necessary steps to fully acquire J&J Group, a significant supplier of end-to-end logistics solutions throughout South-East Africa. Major player on the continent, J&J Group specializes in the transportation of break-bulk, containerized, project, fuel, and out-of-gauge cargo between Mozambique, Zimbabwe, Zambia, South Africa, Malawi, and the Democratic Republic of the Congo. J&J Group offers end-to-end logistics solutions along the Beira and North-South corridors in South-East Africa.
Through this acquisition, Imperial will be positioned for quicker go-to-market outside of South Africa and end-to-end access to certain key countries and corridors in Africa
Yesterday, the deal involving the acquisition of the first tranche of shares (51%) of the J&J Group that was announced last year was finalized. The purchase of the second and third tranches, each at 46.5 percent and 2.5 percent, will come after this, it was said. Group Chairman and CEO Sultan Ahmed Bin Sulayem said: “This acquisition strengthens DP World’s position in Africa as an end-to-end logistics provider, by adding J&J’s significant presence along these key corridors in Africa – a market where trade is expected to grow at more than twice GDP driven by population growth, accelerated urbanization and rising middle classes.” The announcement comes after Imperial purchased a majority stake in Africa FMCG Distribution Ltd (AFMCG), a member of the Chanrai Group of Companies, underlining the Dubai operator’s desire to increase the reach of its African branch. Mohammed Akoojee, Chief Operating Officer of DP World Logistics, Group CEO at Imperial, said: “This acquisition complements our ‘Gateway to Africa’ focus as it optimizes and expands our reach in Africa by providing scale in end-to-end cross-border transportation services in key countries and new industries.”
The DP World group has seized this excellent chance and is on track to buy the leading African logistics firm J&J group. This would help them succeed and make profit in the long run while also bolstering their position in the logistics market. They took advantage of the appropriate opportunity at the right moment, but only time will tell if they can actually accomplish this potential success.