Under the agreement, the payment will be broken down into two tranches. The first tranche will see the payment of A$58.8 million, of which A$28.8 million for the acquisition of ordinary shares from “certain FMH existing shareholders”. The remaining A$30.0 million will go to FMH for the subscription of new shares to be issued by the company.
Singapore Post (SingPost) has acquired Australian 4th party logistics service company Freight Management Holdings (FMH) for a consideration of A$85.0 million ($84.1 million).
SingPost’s wholly-owned subsidiary, SingPost Logistics Holdings, on Oct 16, entered into a conditional sale and purchase agreement with the existing shareholders of FMH to acquire a 38% equity interest in the Australian company. Upon completion of the acquisition, SingPost Logistics Holdings intends to set up a new holding company in Australia to hold its equity interest in FMH.
