Growthgate Capital, an investment firm based the UAE, announced that it has exited from its investment in Able Logistics Group (Able) by selling its 70% equity stake therein to Kerry Freight Services (South Asia) Pte. Ltd., a wholly owned subsidiary of Kerry Logistics Network, for $32m. Able Growthgate Capital had been considering launching an IPO for Able Logistics Group but opted in favour of Kerry’s strategic buyout offer.
Able Logistics Group is an integrated provider of freight forwarding, land transportation, and warehousing services. Growthgate first invested in Able in 2007, when operations were limited to the UAE and selected Asian destinations. By the time of the sale the company operated from multiple bases in the UAE, Oman, Saudi Arabia, Afghanistan, and Hong Kong, with over 500 corporate customers including multinationals in diversified sectors such as electronics, food, and fast moving consumer goods. Able’s management expected to achieve $135m in total revenues in 2014.
“This is a great development for Able, as Kerry is the best strategic partner to take the company forward and give the senior management team the opportunity to propel the business on a wider scale as part of a global platform,” said Karim Souaid, General Manager of Growthgate Capital.
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