Dubai-based ports and logistics player DP World has reached an agreement to acquire Australian port-to-door logistics services provider Silk Logistics.
The transaction, subject to shareholder approval of Silk Logistics and standard closing conditions, values the company at about A$174.5m ($115.6m) or A$2.14 per share.
Silk Logistics operates 21 logistics hubs and 25 warehousing sites across five Australian states. The company will become part of DP World Australia, which operates four container terminals and three container parks at Brisbane, Sydney, Melbourne and Fremantle as well as inland distribution centres and warehouses.
“DP World’s acquisition of Silk Logistics marks a significant step forward in strengthening our integrated logistics capabilities and expanding our service offerings,” said Sultan Ahmed bin Sulayem, DP World group chairman and CEO.