Exel invests 10 million USD in the initial public offering of Sinotrans Ltd
Exel plc, has agreed to subscribe for USD10m worth of the ‘H’ Shares of Sinotrans Ltd. when the Chinese company initiates its International Offering to strategic and international investors, alongside its public offering in Hong Kong. As a strategic investor Exel will be nominating a Director.
Exel is one of the largest integrated logistics companies in Asia Pacific, and offers a wide range of supply chain services. The company employs over 9,000 people in 89 locations across 20 countries in the Asia Pacific region. In 1984 Exel appointed Sinotrans as its agent to develop business in China and in 1996 formed the Exel-Sinotrans joint venture which now has 1200 employees based in 15 cities.
According to Mr CK Lee, CEO, Asia Pacific, “our strategic partnership with Sinotrans has been very successful. The company’s strong progress in China can be credited to our close working relationship with Sinotrans, enabling us to provide a framework for meeting the needs of customers, and introducing innovative supply chain solutions to businesses from manufacturing through to final distribution.”
Global companies are now outsourcing even more manufacturing to China and Exel-Sinotrans is well positioned to meet this market growth. “This strategic investment in Sinotrans’ initial public offering will therefore cement Exel’s further expansion in the fast growing China market.” concluded Mr Lee.
John Allan, Chief Executive of Exel plc, added, “We are very pleased to be able to support our partner, Sinotrans, at this important time in their development.”
