Consolidation continues in regional logistics sphere
Australasian end-to-end supply chain giant, Mondiale VGL has picked up South Australian-based customs and logistics business Customs Agency Services (CAS).
It is the second sector consolidation move in a matter of days, following Navia acquiring Western Australian’s Keys Freight & Logistics.
The tie up with CAS will consolidate Mondiale VGL’s national presence while also building further scale in the Australasian market, the latter notes.
CAS specialises in international and domestic freight forwarding, customs brokerage, third-party warehousing and logistics and customs advice.
“The Customs Agency Services business will consolidate our national footprint and give us access to the highly strategic Defence and e-commerce industry verticals, creating significant cross-selling opportunities across our business,” Mondiale VGL CEO Ray Meade said.
“Having worked with CAS in various forms for more than a decade, we have a deep respect for its people and the customer-centric focus embedded throughout the business.
“CAS will continue to operate as a stand-alone business within our broader group and operate under the same CAS name and existing team.
“Growth by acquisition is an important part of our strategy to build scale in our business and acquire companies that deliver either unique access to key market segments or which bring critical mass in key markets where we seek to further increase our presence.”
Read how Navia snapped up Keys Freight & Logistics, here
The combined group will handle over 500,000 containers and 25 million kilograms of air freight a year, employing more than 1,500 people globally in freight forwarding, customs clearance, wharf transport, and warehousing.
“This is an inflection point for our business, enabling us to accelerate our growth ambitions with a highly regarded national provider that is recognised as the largest, privately-owned international freight forwarding and logistics company in our region,” CAS principals Mark Callus and Louise Rigoni said in a joint statement.
“Fundamentally, we believe that scale in logistics has become a critical factor in remaining relevant and competitive in our industry.
“Becoming a part of the Mondiale VGL Group will bring significant scale and capability to our operations in Australasia and globally.
“This is good news for our customers who will benefit from greater access to contested space for both sea and air cargo with access to a full suite of integrated services providing them even greater control and visibility of their supply chain.”