JOHANNESBURG - Santova, the listed integrated logistics solutions provider, has acquired Singapore-based ASM Logistics for an undisclosed amount from an independent third party and founding shareholder.
The company said this strategic acquisition would further entrench Santova in Asia, expand its global presence and enable it to have better control of the supply chain.
ASM Logistics was a non-asset-based supply chain logistic company, which was incorporated in Singapore in 2009 and has operational activities in Singapore, Hong Kong, Indonesia, Malaysia, Thailand and Vietnam.
Santova said the strategic location of Singapore also provided it with a platform to share in the growth of South East Asia, a fast-growing economic region.
It said the total maximum purchase consideration for ASM Logistics was less than 5 percent of Santova’s market capitalisation, with the purchase price settled fully in cash from its existing resources.
Santova said all conditions precedent had been fulfilled and the effective date of the acquisition was yesterday.
It said the acquisition was expected to have a positive impact on the group’s results but the full effects of this would only be felt in future financial periods and it would not materially affect the group’s results for its 2019 financial year.