Chinese logistics leader Sinotrans in merger talks
Sinotrans, a DHL joint venture partner, is in talks with river shipping company China Yangtze Transportation Group to create a new national logistics giant.
In a brief statement, Sinotrans Ltd, the Hong Kong-based listed subsidiary of the Sinotrans Group, said this week that its parent company “is considering a possible merger” with China Yangtze Transportation Group, and is currently “in discussions on the key aspects of the possible merger”.
According to reports from China, a merged group could operate under the name China Logistics Group and would be a national logistics leader with activities ranging from express (through the DHL-Sinotrans joint venture), freight forwarding and warehousing to river and ocean shipping. The activities could then be re-organised between Sinotrans Ltd and the separate, listed company Sinotrans Shipping Ltd.
DHL, which had invested some USD 600 million in the country over the last five years, will open a new North Asia air hub in Shanghai in 2010 and is also expanding its main hub at Hong Kong.
Sinotrans, a DHL joint venture partner, is in talks with river shipping company China Yangtze Transportation Group to create a new national logistics giant.
In a brief statement, Sinotrans Ltd, the Hong Kong-based listed subsidiary of the Sinotrans Group, said this week that its parent company “is considering a possible merger” with China Yangtze Transportation Group, and is currently “in discussions on the key aspects of the possible merger”.
According to reports from China, a merged group could operate under the name China Logistics Group and would be a national logistics leader with activities ranging from express (through the DHL-Sinotrans joint venture), freight forwarding and warehousing to river and ocean shipping. The activities could then be re-organised between Sinotrans Ltd and the separate, listed company Sinotrans Shipping Ltd.
DHL, which had invested some USD 600 million in the country over the last five years, will open a new North Asia air hub in Shanghai in 2010 and is also expanding its main hub at Hong Kong.
