Container shipping giant Maersk agrees to buy Hong Kong-based LF Logistics for $3.6B in an all-cash deal, according to a report by Reuters on Wednesday.

  • The deal is one of the group’s largest takeovers in the company’s history. It follows other acquisitions, including e-commerce firms, as the freight forwarder focused on air freight and its smaller rival Hamburg Sud.
  • In a statement, the company disclosed that acquisition would further expand Maersk’s capabilities as an integrated container logistics firm providing global end-to-end supply solutions to its customers.
  • Maersk will acquire LF Logistics from controlling shareholder Li & Fung Ltd and from Singapore state investor Temasek that bought 22% of the company in 2019. The deal is expected to be finalized in 2022.

LF Logistics provides land-based logistics services, and the company had revenue of $1.3 billion last year. CPH up +0.27%