Melbourne, Australia 02 December 2024
- Investment by PEP Funds to enhance FMH Group’s technology platform
- Will support strategic acquisition opportunities
- Strengthens FMH Group position as industry leader to unlock greater value for customers
Singapore Post Limited (SingPost) today announced that it has entered into a sale and purchase agreement with funds managed or advised by Pacific Equity Partners (hereby collectively, PEP, PEP Funds or Pacific Equity Partners) for the sale of its Australia business, Freight Management Holdings Pty Ltd (FMH).
With PEP Funds as its new owner, FMH Group will be well-supported to build on its strong foundation, accelerate its growth strategy, and continue delivering outstanding value and market leading service to its customers. Customers and carrier partners can expect the same high level of service and innovation as the company enters this new phase of growth.
Simon Slagter, CEO of FMH Group said: “This is an exciting milestone for FMH Group. We have built a foundation of trust with our customers, achieved significant growth, and led the way in providing excellent logistics services. The investment of Pacific Equity Partners will help us take the next leap forward, empowering us to further enhance our technology platform, turbocharge our business development function and pursue strategic acquisition opportunities, strengthening our position as industry leader and unlocking even greater value for our customers.”
Pacific Equity Partners Managing Director, David Brown said: “We are thrilled to welcome FMH Group to our portfolio. FMH Group has a stellar track record of growth, a passionate team and a clear and compelling trajectory. We look forward to supporting them to build on their success and facilitate further opportunities.”
Singapore Post Chairman, Simon Israel, said: “Since our initial investment in FMH Group in 2020, we have witnessed the group achieve extraordinary growth. Now, with its strong market position and growth pathway the Board has decided it is time to realise the substantial shareholder value created. The transition of FMH Group ownership to PEP will support its continued upward trajectory.”
The proposed divestment is subject to regulatory approvals such as approvals from the Foreign Investment Review Board of Australia, and SingPost obtaining the requisite approval from shareholders in an extraordinary general meeting of SingPost to be convened.
About FMH Group
FMH Group is a diversified logistics holding company with divisions across 4PL, warehousing, transportation and technology. Its vision is to create a new logistics ecosystem, where people and physical assets are connected through a ubiquitous technology platform, enabling true supply chain efficiency. FMH Group comprises: Australia’s leading 4PL, efm Logistics; logistics technology company, Flip; transportation providers, Border Express, BagTrans, Spectrum Logistics, CouriersPlease and Logistics Holdings Australia, under which is GKR Transport, Niche Logistics and Formby Logistics. www.fmhgroup.com.au
About Singapore Post Limited (SingPost)
Singapore Post Limited (SingPost) is a leading postal and eCommerce logistics provider in Asia Pacific. The portfolio of businesses spans from national and international postal services to warehousing and fulfillment, international freight forwarding and last mile delivery, serving customers in more than 220 global destinations. Headquartered in Singapore, SingPost has over 4,900 employees, with offices in 13 markets worldwide. Since its inception in 1858, the Group has evolved and innovated to bring about best- in-class integrated logistics solutions and services, making every delivery count for people and planet.
About Pacific Equity Partners (PEP)
PEP is one of Australasia’s oldest, largest and most active private equity firms, currently with A$12 billion AUM across various investment strategies. Since 1998, PEP has made more than 200 investments including bolt-ons, has engaged close to A$50 billion of transactions, including both acquisitions and exits, and has delivered a 28% average Net IRR p.a. across the closed end funds. PEP has been the recipient of various industry awards over the past 26 years, including most recently the 2024 Firm of the Year Award from the Australian Investment Council (AIC).