DUBAI: DP World, one of the biggest port operators in the world, has acquired US supply chain solutions provider Syncreon Holdings for $1.2 billion.
The purchase is expected to close in the second half of this year and will be funded from existing available resources, the Dubai-based port operator said in a statement.
Syncreon provides services including warehouse management, export packing and fulfillment from 91 sites in 19 countries. Its main focus is on enabling e-commerce for large technology customers, and providing inventory management, warehousing and kitting/sequencing for automotive companies.
Last year, Syncreon reported revenue of $1.1 billion, of which 57 percent was generated in Europe, the Middle East and Africa and 42 percent in North America.
DP World has been on an acquisition spree in recent years as it looks to become a more diversified, integrated logistics company. It currently owns and manages ports and free zones around the world, including London, Antwerp, Africa, Russia, India and the Americas.
DP World is currently continuing to look for ways to cut debt and is considering offering international investors a chance to buy into the Jebel Ali Free Zone, Bloomberg has reported, citing people familiar with the matter.
With Syncreon purchase, value of the transport and logistics deals announced this year would increase to over $90 billion, according to data compiled by Bloomberg. That’s up almost threefold on the same period in 2020.
