Kuehne+Nagel has finalized an agreement to purchase City Zone Express, a subsidiary of Chasen Holdings, a company listed on the Singapore Exchange Mainboard.
City Zone Express, established in 2006 and headquartered in Malaysia, boasts a workforce of over 500 employees and operates across Malaysia, Singapore, Vietnam, Thailand, and China.
“Asia’s economies are an attractive area for us to develop our road logistics services in line with our Roadmap 2026. With City Zone Express, we acquire a reputable regional player whose network and capabilities ideally complement our own. It enables us to better support our customers with tailored road logistics solutions in complex cross-border environments,” commented Hansjörg Rodi, member of the Management Board at Kuehne+Nagel International AG.
This acquisition is projected to immediately bolster earnings for Kuehne+Nagel and strategically strengthen its cross-border road logistics services in the Asian region.
Furthermore, City Zone Express owns a fleet of 260 vehicles and manages 80,000 square meters of warehousing space, providing dependable cross-border logistics services across Southeast Asia up to China.
By integrating City Zone Express’s capabilities with Kuehne+Nagel’s existing network, logistics proficiency, and its eTrucknow visibility platform, customers in thriving local sectors such as e-commerce and high-tech will enjoy an even more reliable and expanded range of services.
“We are thrilled and privileged to become a member of the Kuehne+Nagel Group, an industry leader in air and sea freight, and a renowned player in road freight. With our combined footprint in road logistics, we can better meet the growing demand for road logistics services in Southeast Asia – a region that is known as an important manufacturing hub for critical industries like high-tech, semiconductors and e-commerce,” said S. Pirithivaraj A/L Selvarajoo, founder of City Zone Express.
The transaction’s completion is anticipated in the forthcoming months, pending approval from relevant regulatory bodies and shareholders of Chasen Holdings.
