SingPost sells partial stake in GD Express to Yamato
Singapore Post (SingPost) has sold 137.4m shares in GD Express Carrier to Yamato Asia for S$78.4m. The company said that the reduction in its stake will “free up capital to allow the Group to strengthen its financial capability while maintaining flexibility for future growth”.
SingPost added that it has made a net gain of S$64m from the partial divestment, which it will use to “reinforce” its e-commerce logistics solutions and networks.
With the completion of the partial divestment, SingPost now holds a 11.2% strategic stake in GDEX and retains its board seat at GDEX.
Mervyn Lim, SingPost Deputy Group Chief Executive Officer (Corporate Services) and Group Chief Financial Officer, commented: “This partial divestment boosts the financial capability of SingPost as the group gears up on an accelerated path to becoming a global leader in end-to-end e-commerce logistics. This deal gave us a good return on our investment and also boosted our available resources to drive SingPost’s e-commerce logistics growth as it pivots into the US with the recent investments in TradeGlobal and Jagged Peak.”
SingPost said it will continue to “reap business synergies through its GDEX business collaboration”, and the addition of Yamato into the mix will give the arrangement “added uplift”.
