Aramex, a leading global provider of logistics and transportation solutions that is listed on the Dubai Financial Market (DFM), has completed the acquisition of Access USA Shipping (MyUS), a global technology-driven platform, for an all-cash purchase price of about $265 million.
The transaction, after having obtained all the necessary regulatory approvals, marks Aramex’s largest acquisition to date.
Following the acquisition, MyUS will be fully integrated into Aramex’s business, operating as a business unit within the company’s courier business segment. MyUS will retain its brand name and will be complementary to Shop & Ship, Aramex’s subscription-based last mile e-Commerce solutions platform.
The acquisition will further strengthen Aramex’s cross-border express business by increasing shipment volumes, growing and diversifying its customer base, and expanding coverage in new origins and destinations. This transaction is also expected to be immediately value accretive for Aramex, providing strong growth in revenues, attractive profitability and superior cash conversion.
MyUS provides cost-effective package forwarding solutions. In 2021, the company generated more than $100 million in revenue and delivered 1.1 million packages to customers who shop from retailers based in the US, UK and China. The company has about 180,000 active customers.
Othman Aljeda, Chief Executive Officer of Aramex, said,
“With the successful close of our largest strategic acquisition to date, Aramex has become an even more competitive player in the cross-border e-Commerce space. Given how complementary MyUS’s business is to ours, we believe our wider stakeholder universe will realise the immediate and long-term positive benefits of this acquisition. Our shareholders will immediately see the impact on financial performance, and over the long term we can unlock further value through operational and cost synergies. Our customers are set to benefit from further enhanced network coverage and service excellence from first to last mile.”
“Our employees will benefit from knowledge sharing, further developing their expertise in the cross-border express business, including learning and adopting MyUS’s leading proprietary software,”
Ramesh Bulusu, Chief Executive Officer of MyUS, said,
“We are ready to take our products and solutions to new markets by leveraging on Aramex’s extensive global network, scale, knowledge and expertise in markets exhibiting very attractive characteristics such as the Mena region, the UK and Australia. Together with Aramex, we will work on developing a joint business plan to unlock revenue and operational synergies to help grow the cross-border e-Commerce business and bring customers the best solutions and services.”
News Source: Emirates News Agency