Global logistics giant, J&T Express, today announced a Share Transfer Agreement with Shenzhen Fengwang Holdings Co., Ltd., a subsidiary of S.F. Holding Co., Ltd.
J&T Express’ subsidiary, J&T Express (Shenzhen) Supply Chain Co., Ltd., will acquire 100% share rights of Shenzhen Fengwang Information Technology Co., Ltd. for RMB 1.183 billion ($170 million), making it a wholly-owned subsidiary.
This move comes as part of J&T’s aggressive expansion in China’s e-commerce express delivery sector.
The transaction, however, is contingent on several conditions, including approval by the State Administration for Market Regulation and timely settlement of the transaction consideration as per the agreement.
Since its entry into China in 2020, J&T Express has been making inroads into the country’s e-commerce express delivery sector, notably acquiring Best Inc.’s express business in China in late 2021. The latest acquisition is set to further enhance J&T’s integrated service capabilities and increase its competitive edge in the sector.
Fengwang Holdings’ subsidiary, Fengwang Express, boasts a robust network spanning 27 provinces, municipalities, and autonomous regions across China. In 2022 alone, Fengwang’s revenue surpassed RMB 3.2 billion. This strategic acquisition aligns with J&T’s commitment to optimizing service experience and fostering high-quality industry development.
S.F. Holding Co., Ltd., in a statement, assured of a smooth transaction transition, given the complementary resources of both sides. The divestment will allow S.F. to focus more on developing core businesses such as domestic mid-to-high-end express, international express, and digital supply chain services.
J&T Express is a leading global logistics service provider with a presence in thirteen countries. With a mission to connect the world with greater efficiency, J&T Express is committed to providing integrated logistics solutions.
S.F. is the largest integrated logistics service provider in China, and the fourth largest express delivery enterprise globally. With a strong emphasis on technological development, S.F. aspires to become a leader in the global intelligent supply chain. – BusinessNewsAsia.com