Abu Dhabi Ports Group (AD Ports) has purchased a 100 per cent stake in Spanish logistics firm Noatum for AED2.5 billion ($680.6 million).
This acquisition significantly broadens AD Ports’ global footprint and positions it among the leading logistics and freight forwarding companies in the world, according to its recent release.
The group aims to create a market-leading international logistics brand, merging its existing logistics business with Noatum to create a significant presence in the region and enhancing services across the company’s global footprint.
Moving forward, AD Ports said Noatum will lead its Logistics Cluster, consolidating the company’s existing logistics offering into its operations.
The group added that some of the revenue and costs synergies of the acquisition include joint purchasing; stronger relationships with shipping lines to attract them to the group’s terminals; expansion of the agency business by leveraging Noatum’s Maritime business; integration of corporate services and functions; transfer of best practices; and best-in-class technology.
“Under the direction of our wise leadership, AD Ports Group continues to extend our global footprint through value-adding acquisitions and partnerships with market leaders,” said Falah Mohammed Al Ahbabi, Chairman of AD Ports Group.
“This ambitious acquisition brings a major global logistics platform into the AD Ports Group family, significantly enhancing our global connectivity and extending the range of maritime, logistics and ports solutions we can offer as we continue to pursue a determined strategy for growth.
“This acquisition makes AD Ports Group one of the most significant global players in the finished vehicle logistics, which we intend to expand in our home and core markets.”
This marks the group’s third major international acquisition in 2022, following the acquisition of a 70 per cent equity stake in Transmar and TCI in September, and the announcement in November of its acquisition of an 80 per cent equity stake in Dubai-based Global Feeder Shipping (GFS).
The acquisition remains subject to regulatory approvals, and the transaction is expected to close in H1 2023.
Net profit soared to AED334 million ($90.9 million) in Q3 2022 and registered a 58 per cent YoY growth to AED941 million ($256 million) for the first nine months of this year.