Kerry picks 51% stake in Chennai logistics co

Chennai, Mar 30 | Updated: Mar 31 2007, 05:49am hrs
Hong Kong-based Kerry Logistics, part of the multi-billion dollar, diversified KUOK Group, has picked up a 51% stake in Chennai-based Reliable Freight Forwarders Pvt Ltd, a 10-year-old logistics company for an undisclosed sum. Following which, the company has renamed into Kerry Reliable Logistics Pvt Ltd. The Hong Kong-based company, which has operations across the globe with a major presence in China, will not only offer its expertise in logistics services but also offer its IT and supply chain management solutions, said Robert K W Tan, executive director of Kerry Logistics.

Addressing a press conference after launching the JV by the Union ICT minister Dayanidhi Maran here on Friday, Tan said that after China India offers the immense potential for logistics business.

We will be soon setting up distribution centres and warehouses in two to five places to cater to the growing demand from engineering, commodities, chemicals, medical products, electronic hardwares, auto components and other areas. We will be investing around $8 million towards this, he added.

In addition to that, the company will provide an end-to-end connectivity with its operations across the globe, particularly to those offices in China, which expect to provide lot of opportunities for companies in India.

"In the next two to three years the joint venture company will run at least 100 trucks across the country," he added.

Kerry Logistics, which has over 15,000 clients across the globe, will tap those clients, which have presence in India for continued logistics support.

On the other hand, We strongly believe that this joint venture will be able to offer a comprehensive logistics support in Tamil Nadu and other parts of the country, Tang said.