AC Logistics Holdings Corp. of the Ayala Group said Tuesday it completed the acquisition of a 60-percent stake in logistics provider Air21 Holdings Inc. for P6 billion.
AC Logistics said in a statement the acquisition would enable it to build an end-to-end logistics platform capable of serving the supply chain requirements of multiple industries in high-growth markets.
AHI, owned by businessman Alberto Lina, has controlling interests in eight operating companies that include Airfreight 2100 Inc., Air 2100 Inc., U-Freight Philippines Inc., U-Ocean Inc., Cargohaus Inc., LGC Logistics Inc., Waste & Resources Management Inc. and Integrated Waste Management Inc.
The firms are engaged in a broad range of logistics services that include express door-to-door service, international and domestic freight forwarding, warehousing and waste logistics management.
The acquisition was done through the issuance by Lina of an exchangeable note to AC Logistics and AC Logistics’ subscription to primary shares in AHI.
“AC Logistics is a realization of Ayala’s commitment to create shared value with our stakeholders. I have full confidence that the vision we created together with Mr. Lina will come to life through our teams’ shared experiences and unique expertise,” said AC Logistics president and chief executive Rene Almendras.
AC Logistics said the addition of the Air21 Group to its portfolio, together with Entrego, would create synergies to potentially generate greater operational efficiency and more efficient asset utilization.
“The combination of their respective capabilities puts the Ayala Group in a better position to provide technology driven end-to-end logistics services that can help address some of the challenges related to pharma and healthcare aides access, food preservation, and proper waste management,” AC Logistics said.
Ayala Group ventured into logistics sector with the launch of Entrego Fulfillment Solutions Inc. in 2017.
Entrego offers various logistic solutions such as management of parcel, documents and bulk deliveries for business-to-business and business-to-consumer clients.
It also expanded from last mile delivery to domestic freight forwarding, contract logistics and warehouse operations.
BPI Capital Corp. and Fortman Cline Capital Markets Ltd. acted as financial advisors for AC Logistics and Air21 Group, respectively.